Inside Financial Markets

Oil prices to remain unchanged in May

The federal government has decided to keep prices of petroleum products unchanged for the next month, Finance Minister Ishaq Dar said on Sunday.

“We have decided to keep POL prices unchanged for the month of May,” Dar said while addressing a news conference. “The government will give subsidy to maintain the prices.”

The finance minister said high-speed diesel and petrol will sell at Rs84 and Rs74 respectively, while kerosene oil and light diesel will sell at Rs44 per litre throughout the month of May.

According to a statement, Federal Minister for Finance Senator Mohammad Ishaq Dar announced the prices of petroleum products for the period starting from May 1, 2017 until midnight on May 31, 2017.

Petrol, diesel prices likely to be cut

He said that Ministry of Petroleum and Natural Resources and OGRA had recommended an increase of Rs15.19/litre in the price of kerosene oil, increase of Rs10.65/litre in the price of Light Diesel Oil (LDO), decrease of Rs1.20/litre in the price of MS 92 RON Petrol, and decrease of Rs1.10/litre in the price of High Speed Diesel (HSD), with effect from May 1, 2017.

The minister stated that, in line with the prime minister’s instructions to provide maximum relief to the common man, and keeping in view that Kerosene Oil and LDO is used by the low income segments of the country’s population, it has been decided to maintain the prices of Kerosene Oil and LDO at the current level till May 31, 2017.

This decision has been taken also keeping in view the fact that Kerosene Oil caters to the energy needs of the poor. In order to maintain the prices of both Kerosene Oil and LDO at current levels, the government will be forgoing all applicable taxes and duties on these petroleum products. In the case of Kerosene Oil, a government subsidy will be provided to maintain the price at the current level.

The minister further announced that the prime minister has directed to maintain the prices of MS 92 RON Petrol and HSD at existing levels till May 31, 2017.

Petrol, diesel prices increased by Rs1 per litre

The finance minister highlighted that the government has absorbed significant impact of price increases since April 2016 and has suffered considerable loss of revenue. During this period only partial increases have been passed on since December 2016.

Baqar Hussain

A Wannabe CFO, just had stepped in the corporate sector, willing to explore every aspect here and learn as mush as i can, awareness for those who dont, get the info where ever possible and stay up to date always.

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