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Friday May 24, 2024

FPCCI criticises petrol price hike

Sheikh argued that the government should have maintained stable petroleum prices

By News Desk
April 19, 2024
This picture shows the logo of the Federation of Pakistan Chambers of Commerce & Industry (FPCCI). — Facebook/Federation of Pakistan Chambers of Commerce & Industry/File
This picture shows the logo of the Federation of Pakistan Chambers of Commerce & Industry (FPCCI). — Facebook/Federation of Pakistan Chambers of Commerce & Industry/File

KARACHI: Atif Ikram Sheikh, president of the Federation of Pakistan Chambers of Commerce & Industry (FPCCI), criticized the government's decision to increase petroleum prices despite a $1 per barrel drop in international oil prices and relative calm in the West Asian region following the Iran-Israel conflict.

Sheikh argued that the government should have maintained stable petroleum prices, especially considering the expected stability of the rupee-dollar parity in the coming weeks due to the completion of the IMF-SBA and the upcoming long-term IMF-EFF program.

He also noted Saudi Arabia's decision to increase its foreign exchange deposit by $2 billion, bringing it to $5 billion in the State Bank of Pakistan’s foreign exchange reserves (FER), as a significant aid to Pakistan's economic challenges.

Petroleum prices were raised from April 16, with petrol increasing by Rs4.53 to Rs293.94 per liter and high-speed diesel (HSD) by Rs8.14 per liter to Rs290.38. This follows a Rs9.66 per liter increase in petrol prices from April 1, marking a 5 percent increase in just two weeks.