The federal government has announced a major reduction in fuel prices, providing relief to consumers as global oil prices continue to decline.
Significant Reduction in Fuel Prices
The federal government has reduced the prices of both petrol and high-speed diesel by Rs22 per litre, according to a notification issued by the Petroleum Division.
The revised prices came into effect from May 30, 2026, and will remain applicable for the upcoming pricing period.
Following the reduction:
| Fuel Type | Previous Price | New Price | Reduction |
|---|---|---|---|
| Petrol | Rs403.78/litre | Rs381.78/litre | Rs22 |
| High-Speed Diesel | Rs402.78/litre | Rs380.78/litre | Rs22 |
The announcement represents one of the largest single reductions in fuel prices in recent months and is expected to provide relief to motorists, transport operators, and businesses dependent on fuel.
Kerosene Oil Also Becomes Cheaper
In addition to petrol and diesel, the Oil and Gas Regulatory Authority (OGRA) also announced a substantial decrease in kerosene oil prices.
The price of kerosene has been reduced by Rs41.44 per litre, bringing it down from Rs313.44 to Rs272 per litre.
The reduction is expected to benefit households and communities that continue to rely on kerosene for cooking, heating, and other domestic uses.
Government Calls It an Eid Relief Package
Prime Minister Shehbaz Sharif said the government remains committed to providing economic relief to the public.
In an official statement, the government described the latest reduction as a special Eid ul Adha relief measure for citizens.
Officials noted that fuel prices had also been reduced during the previous review, extending consecutive relief measures to consumers.
The government further highlighted that in past periods of exceptionally high international oil prices, subsidies were used to shield consumers from the full impact of rising global energy costs.
Global Oil Prices Behind the Decline
The latest reduction is largely linked to easing international crude oil prices.
Global markets have recently responded positively to expectations that diplomatic efforts between the United States and Iran could help reduce tensions in the Middle East and improve energy supplies.
Government Cuts Petrol and Diesel Prices by Rs5 per Litre for Next Week
During Asian trading on Friday:
- Brent crude fell to around $93 per barrel
- West Texas Intermediate (WTI) declined to just below $88 per barrel
Lower international oil prices generally reduce Pakistan’s import costs, creating room for domestic fuel price adjustments.
Expected Impact on Consumers
Fuel prices play a crucial role in Pakistan’s economy because transportation costs influence the prices of food, goods, and services.
The reduction is expected to:
- Lower transportation expenses for commuters.
- Reduce operating costs for public transport operators.
- Ease logistics and freight charges.
- Provide indirect relief through lower inflationary pressure on essential goods.
However, economists note that the overall impact on inflation will depend on how quickly transportation and supply-chain sectors pass the benefits on to consumers.
New Fuel Prices at a Glance
- Petrol: Rs381.78 per litre
- High-Speed Diesel: Rs380.78 per litre
- Kerosene Oil: Rs272 per litre
The revised rates are effective from May 30, 2026, offering consumers nationwide a measure of relief ahead of the Eid holidays and amid improving conditions in global energy markets.
