The federal government has once again decided to maintain the current prices of petrol and high-speed diesel (HSD) for the next review period, despite a significant surge in international oil prices and recommendations from the Oil and Gas Regulatory Authority (OGRA) for a substantial increase.
In a recent move to shield the public from the impact of global market volatility, Prime Minister Shehbaz Sharif rejected a summary proposing an increase of up to Rs 95 per litre for petrol and Rs 203 per litre for diesel. The government has opted to absorb the price differential to keep the domestic rates stable.
Current Petrol & Diesel Prices in Pakistan
As of March 29, 2026, the official fuel prices remain as follows:
| Fuel Type | Current Price (Per Litre) | Status |
|---|---|---|
| Petrol (Motor Spirit) | Rs. 321.17 | No Change |
| High-Speed Diesel (HSD) | Rs. 335.86 | No Change |
| Kerosene Oil | Rs. 358.81 | Increased by Rs. 4.66 |
| Light Diesel Oil (LDO) | Rs. 159.76 | No Change |
While petrol and diesel prices have been held steady, the price of Kerosene Oil saw a modest increase of Rs. 4.66 per litre, and Jet Fuel (JP-1) prices were raised by Rs. 5.00 per litre to Rs. 476.97.
Government’s Strategy to Absorb Costs
To manage the financial burden of this subsidy, the government has allocated additional funds from various savings and the Prime Minister’s Austerity Fund. This strategy aims to prevent a further inflationary spike that would have resulted from a direct pass-through of international price hikes to the consumers.
“The Prime Minister is committed to providing maximum relief to the common man. Despite the immense pressure on the national exchequer due to rising global oil prices, we are absorbing the impact to ensure stability in the domestic market.” — Official Government Statement
Targeted Subsidy and Future Outlook
The government is also working on a digital fuel quota system to transition from a general subsidy to a more targeted approach. This system is expected to provide direct relief to low-income motorcycle and small car owners while reducing the overall fiscal strain on the federal budget.
Experts suggest that while the current price freeze provides immediate relief, the sustainability of such measures depends on international market trends and the successful implementation of targeted support programs.
Check the latest petrol price in Pakistan today and diesel price in Pakistan for real-time updates.
For more updates on fuel policies and official notifications, visit our Pakistan petrol news section.
