ISLAMABAD-Prices of oil products have declined massively during last three months due to continuous reduction in international rates and local currency appreciation.
Petrol price has declined by Rs64.04 per litre to Rs267.34 per litre on December 16 from Rs331.38 per litre on September 16 this year. Meanwhile, diesel price has declined by Rs52.99 per litre to Rs276.19 per litre from Rs329.19 per litre. Prices have declined due to continuous reduction in prices in international market and currency appreciation. Inflation is likely to reduce following the massive reduction in oil prices. Inflation had accelerated to 29.2 percent in November this year.
The government has already achieved Rs60 per litre petroleum levy, maximum permissible limit under the law, on both petrol and HSD. The government has set budget target to collect Rs869b as petroleum levy on petroleum products during the current fiscal year under the commitments made with the International Monetary Fund (IMF) but is not hoping the collection to beyond Rs950b by the end of June.