<p>The cash-strapped government of Pakistan is now drilling a massive hole in the pockets of its citizens by increasing prices of petrol and diesel.</p>

<p>The caretaker government late Friday (September 15) increased the prices of petrol and high-speed diesel (HSD) by Rs 26.02 and Rs 17.34 per litre, respectively, to over Rs 330.&nbsp;</p>

<p>This is the second price hike in the last two fortnights since August 15. Fuel prices have increased by a whopping 20 per cent since the caretaker government led by Prime Minister Anwaarul Haq Kakar took over.</p>

<p>“Owing to the increasing trend of petroleum prices in the international market, the government has decided to revise the existing consumer prices of petroleum products,” the finance ministry said in a statement.</p>

<h2>Pakistan’s tax regime on fuel</h2>

<p>Pakistan currently levies no Goods &amp; Services Tax (GST) on petroleum products but it charges so-called petroleum development levy (PDL) of Rs 60 per litre on petrol and Rs 50 per litre on diesel.</p>

<p>On top of that, the government also charges a customs duty of Rs 20 per litre on petrol and diesel.</p>

<h2><strong>Inflation likely to increase</strong></h2>

<p>Pakistan’s Dawn reported that the country was expected to be hit by massive inflation as fuel prices continue to soar in a cash-strapped economy.</p>

<p><strong>Watch:&nbsp;Gravitas: Is Pakistan nearing its end?</strong></p>

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<p>Since the transport sector of the South Asian nation is powered by high-speed diesel, the price hike will have a highly inflationary impact on the prices of vegetables and other eatables.</p>

<h2><strong>Inflation in Pakistan</strong></h2>

<p>In August, Pakistan continued to grapple with high inflation, registering a rate of 27.4 per cent, surpassing the target. This was attributed to the challenging reforms required by the IMF for a loan.</p>

<p>Following the narrowly avoided sovereign debt default in July, thanks to a USD 3 billion loan programme from the IMF, Pakistan finds itself on a challenging path to economic recovery under a caretaker administration.</p>

<p><a href="https://www.wionews.com/world/pakistani-police-recover-five-children-from-sara-sharifs-grandfathers-house-635057"><strong>Also read:&nbsp;Pakistani police recover five children from Sara Sharif’s grandfather’s house</strong></a></p>

<p>The reforms associated with the bailout, including the relaxation of import restrictions and the removal of subsidies, have already contributed to a soaring annual inflation rate, reaching a historic high of 38.0 per cent in May.</p>

<p>Furthermore, interest rates were raised, and the Pakistani rupee depreciated significantly, dropping by 6.2 per cent last month, according to ARY News. Food inflation also remained high at 38.5 per cent in August, according to data from Pakistan's statistics department.</p>

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The cash-strapped government of Pakistan is now drilling a massive hole in the pockets of its citizens by increasing prices of petrol and diesel. The caretaker government late Friday (September 15) increased the prices of petrol and high-speed diesel (HSD) by Rs 26.

The cash-strapped government of Pakistan is now drilling a massive hole in the pockets of its citizens by increasing prices of petrol and diesel. The caretaker government late Friday (September 15) increased the prices of petrol and high-speed diesel (HSD) by Rs 26.02 and Rs 17.34 per litre, respectively, to over Rs 330. This is the second price hike in the last two fortnights since August 15. Fuel prices have increased by a whopping 20 per cent since the caretaker government led by Prime Minister Anwaarul Haq Kakar took over. “Owing to the increasing trend of petroleum prices in the international market, the government has decided to revise the existing consumer prices of petroleum products,” the finance ministry said in a statement. Pakistan’s tax regime on fuel Pakistan currently levies no Goods & Services Tax (GST) on petroleum products but it charges so-called petroleum development levy (PDL) of Rs 60 per litre on petrol and Rs 50 per litre on diesel. On top of that, the government also charges a customs duty of Rs 20 per litre on petrol and diesel. Inflation likely to increase Pakistan’s Dawn reported that the country was expected to be hit by massive inflation as fuel prices continue to soar in a cash-strapped economy. Watch: Gravitas: Is Pakistan nearing its end? × Since the transport sector of the South Asian nation is powered by high-speed diesel, the price hike will have a highly inflationary impact on the prices of vegetables and other eatables. Inflation in Pakistan In August, Pakistan continued to grapple with high inflation, registering a rate of 27.4 per cent, surpassing the target. This was attributed to the challenging reforms required by the IMF for a loan. Following the narrowly avoided sovereign debt default in July, thanks to a USD 3 billion loan programme from the IMF, Pakistan finds itself on a challenging path to economic recovery under a caretaker administration. Also read: Pakistani police recover five children from Sara Sharif’s grandfather’s house The reforms associated with the bailout, including the relaxation of import restrictions and the removal of subsidies, have already contributed to a soaring annual inflation rate, reaching a historic high of 38.0 per cent in May. Furthermore, interest rates were raised, and the Pakistani rupee depreciated significantly, dropping by 6.2 per cent last month, according to ARY News. Food inflation also remained high at 38.5 per cent in August, according to data from Pakistan's statistics department. WATCH WION LIVE HERE ×

Cash-strapped Pakistan raises petrol prices to record high of over Rs 330 per litre

<p>Imran Khan, the former prime minister of Pakistan, stated that Pakistan’s future is tied to Russia. Amid economic crisis, Pakistan is considering trading with Russia while the West has set out to punish the Russian President Vladimir Putin for the Ukraine war by imposing sanctions on Russian businesses and billionaires to blacklist. In an interview with German broadcaster Deutsche Welle (DW), the struggling PTI leader said it was good to take a moral stance on the international stage but this shouldn’t come at the expense of its citizens.</p>

<p>In a conversation with DW, Khan said that he’s intended to protect the citizen’s interest and might also help the country to gain gas, oil and wheat from Russia. He said, “When you start condemning people you are taking sides.” He further added that choosing a moral stance is good but one should be powerful enough to take sides when your country is at risk, reported by ANI.</p>

<p><strong>Also read |<a href="https://www.wionews.com/south-asia/imran-khans-wifes-close-aide-farah-khan-receive-a-red-corner-notice-494305">&nbsp;Pakistan: Moves on for 'red warrant' against Farah Khan, close aide of Imran Khan's wife</a></strong></p>

<p>Khan revealed the specifics of his journey to Moscow, where he arrived a day before the Russia-Ukraine conflict started. The former minster, “When I arrived in Moscow, the meeting was the next morning. When we woke up in the morning that`s when the invasion took place. ... Hardly did I know this would happen. Had I known, I certainly wouldn`t have taken the trip.”</p>

<p><strong>Watch |&nbsp;Pakistan: Former PM Imran Khan blames government for super tax</strong></p>

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<p>According to Geo News, Pakistan’s Energy Ministry requested industrial specialists to submit analyses on importing oil form Russian to obtain the commodities at a lower rate. In June, Pakistan’s monthly imports of fuel oil are anticipated to reach a four-year high.&nbsp;</p>

<p><strong>Also read |&nbsp;<a href="https://www.wionews.com/south-asia/former-pak-pm-imran-khan-calls-attack-on-journalist-worst-kind-of-fascism-493809">Former Pak PM Imran Khan calls attack on journalist 'worst kind of fascism'</a></strong></p>

<p>As per Refinitiv estimates, oil imports for the South Asian could increase to nearly 700,000 tonnes this month from 630,000 in May.</p>

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<p><em>(With inputs from agencies)</em></p>


Imran Khan, the former prime minister of Pakistan, stated that Pakistan’s future is tied to Russia. Amid economic crisis, Pakistan is considering trading with Russia while the West has set out to punish the Russian President Vladimir Putin for the Ukraine war by imposing sanctions on Russian businesses and billionaires to blacklist.

Imran Khan, the former prime minister of Pakistan, stated that Pakistan’s future is tied to Russia. Amid economic crisis, Pakistan is considering trading with Russia while the West has set out to punish the Russian President Vladimir Putin for the Ukraine war by imposing sanctions on Russian businesses and billionaires to blacklist. In an interview with German broadcaster Deutsche Welle (DW), the struggling PTI leader said it was good to take a moral stance on the international stage but this shouldn’t come at the expense of its citizens. In a conversation with DW, Khan said that he’s intended to protect the citizen’s interest and might also help the country to gain gas, oil and wheat from Russia. He said, “When you start condemning people you are taking sides.” He further added that choosing a moral stance is good but one should be powerful enough to take sides when your country is at risk, reported by ANI. Also read | Pakistan: Moves on for 'red warrant' against Farah Khan, close aide of Imran Khan's wife Khan revealed the specifics of his journey to Moscow, where he arrived a day before the Russia-Ukraine conflict started. The former minster, “When I arrived in Moscow, the meeting was the next morning. When we woke up in the morning that`s when the invasion took place. ... Hardly did I know this would happen. Had I known, I certainly wouldn`t have taken the trip.” Watch | Pakistan: Former PM Imran Khan blames government for super tax According to Geo News, Pakistan’s Energy Ministry requested industrial specialists to submit analyses on importing oil form Russian to obtain the commodities at a lower rate. In June, Pakistan’s monthly imports of fuel oil are anticipated to reach a four-year high. Also read | Former Pak PM Imran Khan calls attack on journalist 'worst kind of fascism' As per Refinitiv estimates, oil imports for the South Asian could increase to nearly 700,000 tonnes this month from 630,000 in May. WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here. (With inputs from agencies)

Pakistan’s future tied to Russia, says Imran Khan

<p>Cash-strapped Pakistan, which is looking for ways to rein in inflation and save electricity, has announced a series of austerity measures to tackle the nationwide fuel crisis.</p>

<p>Among the significant measures were the curtailment of overseas trips for officials, fuel quotas for government employees to be cut by 40 per cent, and reimposing five-day workweek.</p>

<p>The move comes at a time when the South Asian country is hit by hours-long power outages, with demand outstripping supply during the peak summer months. Soaring global fuel prices have also increased pressure on the external account and the local currency has hit record lows against the dollar.</p>

<p>Apart from that, announcements were made to stop purchases of new vehicles for use by officials and appliances such as air conditioners.</p>

<p>Speaking to reporters, Information Minister Marriyum Aurangzeb said the nation is aiming to lower energy consumption at government offices by 10 per cent.</p>

<p>Lunches, dinners and high teas will no longer be served to officials, and the government will also consider&nbsp;making&nbsp;Friday a mandatory work-from-home day for its employees.</p>

<p><strong>Watch |&nbsp;Climate Change Impact: 'Pakistan to become water-scarce country'</strong></p>

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<p>Aurangzeb said Prime Minister Shehbaz Sharif had formed a committee to determine how “efficiency is not affected” and how the government “may benefit from it in an effective manner”.</p>

<p>Discussions are being carried out with to switch off streetlights on alternate days.</p>

<p>“A complete ban has been imposed on official visits by government officials, functionaries and ministries. Only obligatory visits and very important bilateral visits will be allowed,” she said, adding that a committee would decide the importance of each visit before giving approval.</p>

<p><strong>Also read |</strong>&nbsp;<a href="https://www.wionews.com/south-asia/pakistan-needs-usd-41-billion-in-next-12-months-says-finance-minister-486098" hreflang="en">Pakistan needs USD 41 billion in next 12 months, says finance minister</a></p>

<p>Aurangzeb said there was currently a gap of 4,600 megawatts between supply and demand, with supply at 21,000 megawatts and demand at 25,600 megawatts.</p>

<p>In the wake of soaring energy prices, Pakistan is facing a balance of payment crisis with forex reserves falling below $10 billion, enough for around 45 days of imports, as well as double-digit inflation.</p>

<p><em>(With inputs from agencies)</em></p>

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Cash-strapped Pakistan, which is looking for ways to rein in inflation and save electricity, has announced a series of austerity measures to tackle the nationwide fuel crisis.

Cash-strapped Pakistan, which is looking for ways to rein in inflation and save electricity, has announced a series of austerity measures to tackle the nationwide fuel crisis. Among the significant measures were the curtailment of overseas trips for officials, fuel quotas for government employees to be cut by 40 per cent, and reimposing five-day workweek. The move comes at a time when the South Asian country is hit by hours-long power outages, with demand outstripping supply during the peak summer months. Soaring global fuel prices have also increased pressure on the external account and the local currency has hit record lows against the dollar. Apart from that, announcements were made to stop purchases of new vehicles for use by officials and appliances such as air conditioners. Speaking to reporters, Information Minister Marriyum Aurangzeb said the nation is aiming to lower energy consumption at government offices by 10 per cent. Lunches, dinners and high teas will no longer be served to officials, and the government will also consider making Friday a mandatory work-from-home day for its employees. Watch | Climate Change Impact: 'Pakistan to become water-scarce country' Aurangzeb said Prime Minister Shehbaz Sharif had formed a committee to determine how “efficiency is not affected” and how the government “may benefit from it in an effective manner”. Discussions are being carried out with to switch off streetlights on alternate days. “A complete ban has been imposed on official visits by government officials, functionaries and ministries. Only obligatory visits and very important bilateral visits will be allowed,” she said, adding that a committee would decide the importance of each visit before giving approval. Also read | Pakistan needs USD 41 billion in next 12 months, says finance minister Aurangzeb said there was currently a gap of 4,600 megawatts between supply and demand, with supply at 21,000 megawatts and demand at 25,600 megawatts. In the wake of soaring energy prices, Pakistan is facing a balance of payment crisis with forex reserves falling below $10 billion, enough for around 45 days of imports, as well as double-digit inflation. (With inputs from agencies) WATCH WION LIVE HERE

Cash-strapped Pakistan announces austerity measures as soaring energy cost, inflation bite hard

<p>Pakistan PM Imran Khan during a meeting with traders on the need to pay taxes recently had harped on the fact that the salary he earns&nbsp;is not enough to run his household.</p>

<p>WION accessed the Pakistan prime minister's payslip which shows Imran gets over 2 lakh as gross salary every month which includes allowances and&nbsp;after deductions it comes to Rs 1,96, 979.</p>

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<p>During his speech, Imran had cited his expenses as an individual and as a public servant to make a point to traders while accusing Opposition leaders of minting money by cheating on taxes.</p>

<p>It is no secret inflation has badly hit the average Pakistani citizen. The Pakistan prime minister has been under fire as a nationwide shortage of wheat has led to a surge in prices of bread and roti.</p>

<p>Pakistan's economy has seen the rupee plummeting as the country battles&nbsp;rampant price rise of various commodities including pulses and flour. Several provinces in the country have reported a shortage of flour.</p>

<p>Despite this, the fact that the Pakistan PM tried to play a political game by trying to identify with an average citizen wouldn't&nbsp;exactly make his countrymen happy. The Pakistan PM's basic pay alone of Rs 107, 280 is enough to feed an average Pakistani household, leave alone the gross amount.</p>

<p>The Pakistan economy has been in doldrums for a while with rising debt with the Pak prime minister himself going to various countries to pick up much-needed aid for the country.</p>

<p>A recent World Bank report had presented gloomy picture for the country stating that the growth in Pakistan had actually decelerated with the Pakistan rupee depreciating nearly twenty per cent and&nbsp;the Budget deficit rising sharply. The report highlighted that revenue collecting had dipped as well.</p>


Pakistan PM Imran Khan during a meeting with traders on the need to pay taxes recently had harped on the fact that the salary he earns is not enough to run his household.

Pakistan PM Imran Khan during a meeting with traders on the need to pay taxes recently had harped on the fact that the salary he earns is not enough to run his household. WION accessed the Pakistan prime minister's payslip which shows Imran gets over 2 lakh as gross salary every month which includes allowances and after deductions it comes to Rs 1,96, 979. During his speech, Imran had cited his expenses as an individual and as a public servant to make a point to traders while accusing Opposition leaders of minting money by cheating on taxes. It is no secret inflation has badly hit the average Pakistani citizen. The Pakistan prime minister has been under fire as a nationwide shortage of wheat has led to a surge in prices of bread and roti. Pakistan's economy has seen the rupee plummeting as the country battles rampant price rise of various commodities including pulses and flour. Several provinces in the country have reported a shortage of flour. Despite this, the fact that the Pakistan PM tried to play a political game by trying to identify with an average citizen wouldn't exactly make his countrymen happy. The Pakistan PM's basic pay alone of Rs 107, 280 is enough to feed an average Pakistani household, leave alone the gross amount. The Pakistan economy has been in doldrums for a while with rising debt with the Pak prime minister himself going to various countries to pick up much-needed aid for the country. A recent World Bank report had presented gloomy picture for the country stating that the growth in Pakistan had actually decelerated with the Pakistan rupee depreciating nearly twenty per cent and the Budget deficit rising sharply. The report highlighted that revenue collecting had dipped as well.

Imran's salary not enough to run household? WION accesses Pak PM's salary slip