More misery for the masses as petrol prices in Pakistan are likely to rise [Post Updated # 419]

[srh]

Because buying power matters. And I am referring to buying power of people of the country. So, the comparison is apple and orange comparison.

But for a moment, I accept that would you accept the same logic when it is applied in the future by future non-PTI government or for that matter, accept the same logic for past non-PTI governments as I am sure that would be the case then too. But unfortunately, IK did not use to tell us that then. He used to tell us that if petrol gets expensive then the govt is thief.

This thread was about price of oil so in this context my arguments are correct.

Agree with you about Imran Khan. He has made lot of mistakes when he was not in government and even more mistakes after he got in government. He had a chance to bring real changes but he failed miserably.

 

[natkhat-shahzada]

You lied about the 80bn and you have not shown any source for your assertion that part of the 93bn was taken under IK. And why are you running from a simple Question- the loan IK took to stop bankruptcy was a Noora loan. So add the Noora loan to the 93bn and what do you get?

Did you give any source for how much PPP and PML-N took loans from the previous govt? If no then why are you asking me for that. I am just doing comparisons based on the loans figure at end of each year.

You just give a random number and thought it will not be challenged. I know it must be hurting because you have been caught red-handed.

And I did not lie. You are the chief liar and manipulator. I am done with you. Enjoy your weekend by telling lies to people around who will listen to you.

 

[natkhat-shahzada]

This thread was about price of oil so in this context my arguments are correct.

Agree with you about Imran Khan. He has made lot of mistakes when he was not in government and even more mistakes after he got in government. He had a chance to bring real changes but he failed miserably.

Ok, fair enough. I will not contest that further after your explanation.

 

[Bewal Express]

Did you give any source for how much PPP and PML-N took loans from the previous govt? If no then why are you asking me for that. I am just doing comparisons based on the loans figure at end of each year.

You just give a random number and thought it will not be challenged. I know it must be hurting because you have been caught red-handed.

And I did not lie. You are the chief liar and manipulator. I am done with you. Enjoy your weekend by telling lies to people around who will listen to you.

Don't run now. I am just get started. Nooras and Indians( to be more precise Inds that hate IK and pretend to be PK) always run when challenged. I asked you a simple a question and I can see why you are running. So once again, do you agree that the loans IK took at the start of his govt, were Not his but Noora govt loans.

 

[jeetu]

Even in Delhi Petrol price is over 100 Rs. Delhi petrol rate tend to be lowest in in India.

 

[saeedhk]

People have a lot of money in Pakistan. They waste money away in marriages and other useless traditions. The poor class does not care as they don't use vehicles they use buses same goes for the middle class and rich people can afford it since in Pakistan they do not pay taxes. I think life is OK. Oust PTI in the next election if you are not satisfied with their performance. In Germany, fruits are so expensive 3.50 euros I KG- at the same price convert it in Pakistan you can buy a lot of fruits. Germans look at them in the grocery store from a distance but they do not criticize their government.

Have you ever lived or been to Pakistan? Yes, Pakistanis have a lot of money that is why 30% of Pakistanis live in poverty and 40% of children have stunted growth!

Increase in petrol affects everyone because transport costs go up which means increase in food prices. And, the poor use motorbikes which run on petrol!

In Germany, the salaries commensurate with inflation. For example, if Pakistanis were to buy one KG of mutton, they would have to use all of their daily income of RS 900! Do you understand?

It is easy to sit in Germany and make such claims. Try living here!

 

[Major]

Im surprised how many people on this thread either dont know what per capita income is or selectively try to ignore it.

Each overseas pakistani here is comparing their country with pakistan and saying oh look we pay more. The amount of money that people make here in a month is the amount people make in 3-4 days with minimum wage in foreign countries

 

[saeedhk]

Im surprised how many people on this thread either dont know what per capita income is or selectively try to ignore it.

Each overseas pakistani here is comparing their country with pakistan and saying oh look we pay more. The amount of money that people make here in a month is the amount people make in 3-4 days with minimum wage in foreign countries

Exactly! Very poor judgement! Now, I know why expats love Imran Khan. Just look at the rate of US dollar!

I am living in Hong Kong. A chicken costs Rs 1000 here but our daily wage is Rs 16000. If we were to buy a chicken, we would only need to spend around 6% of our daily wage! I am appalled why so many expats do not understand this simple rationale!

 

[shaz619]

This is happening every where, OP needs to educate themselves on basic economics because it’s a poor attempt at point scoring, you could have used something else if you were a bit clever.

 

[Technics 1210]

So, someone living in HK, is asking Pakistani expats to live in Pakistan to experience the ground realities? Oh my.

This has nothing to do with capita income. The cost of energy is rising world wide. If you want to talk about daily salaries/earnings, many in the UK are trying to survive by earning a minimum wage. This is about £70 a day. This is not enough for food, rent/mortgage, council tax, energy bills, travel costs (inc public transport), and car insurance, car tax, and of course fuel. This is the reason why many in the UK are drowning in debt, losing their homes, and filing for voluntary insolvency and bankruptcy.

Try living in the UK to understand the ground realities. The only thing that is keeping many people afloat is credit cards/loans.

But lets blame PTI/IK.

 

[Technics 1210]

To add, such is the state of the UK economy that interest rates have been near zero for nearly 14 years; debt levels through the roof, but no, just because one can afford a 99p double cheeseburger at McDonalds, all is well!

 

[MenInG]

A day after the government increased the prices of all petroleum products to a record-high level, Finance Minister Shaukat Tarin on Friday announced that an agreement was reached with Saudi Arabia under which Riyadh would provide $3.6 billion to purchase crude oil.

Talking to media persons in Jhelum, the finance minister said that this time around, Riyadh has agreed to “give cash for the purchase of oil [from any country] as its oil is not utilised properly in our refineries”.

On Wednesday, Tarin in response to a question in the National Assembly had disclosed that an agreement for another Saudi oil facility had been reached and would be formally announced within two to three days.

“Saudi Arabia will pay $3.6 billion to the government of Pakistan on a monthly basis over a period of two years,” Tarin said while talking to the media in Jhelum.

He said the government would receive $150 million per month that would be utilised only for oil purchase.

Addressing a news conference along with Minister of State for Information and Broadcasting Farrukh Habib, Tarin reiterated that the government was absorbing the impact of the decade's highest price hike at international level to provide relief to the people through various measures including direct food subsidy to the poor.

The federal minister said that Covid-19 pandemic had triggered price hike across the globe, adding that since Pakistan was an importer of some essential commodities, it was impacted too. However, he added that the government did not pass on all this impact to the people.

On the hike in petrol price, the minister said that Pakistan stood at 17th among the countries providing the commodity at the lowest prices, adding that the majority of the other 16 countries having lowest prices than Pakistan were oil-producing countries.

He said petrol prices in the country were even lower than in regional countries, as it was being sold at Rs127 per litre in Pakistan whereas its price in India was Rs235 per litre and Rs195 per litre in Bangladesh.

He said the government wanted to reduce prices as it had already slashed the petroleum levy from Rs30 in 2018 to just Rs2.5 per litre.

READ Saudi decision on oil facility being awaited, NA told

He said the government had budgeted Rs600 billion from petroleum levy, which could be affected as the prime minister wanted to provide relief to the people.

The minister said that it was very unfortunate that no proper attention was given to the agriculture sector for the last three decades and resultantly, the country had become a net importer of wheat, sugar, pulses and ghee and was directly affected by world inflation.

He said despite all this, the government had taken measures to provide relief to the people, particularly the poor. The government had to buy sugar at higher rates, but it would be available at around Rs90 per kilogramme.

Likewise, ghee prices that witnessed around 80-90 per cent hike in the international market and was available at Rs350 per kilo in Pakistan, would fall below Rs300.

He said the government would also provide direct food subsidy to 12.5 million families which constitute around 44 per cent of the total population. The subsidy would be provided on flour, sugar, ghee and pulses.

He said the government was also evolving a mechanism to minimise the role of middleman, which he said was one of the major causes of inflation, adding that the provinces had also been asked to reestablish provincial price administrators to control prices.

The minister said that the economy of the country was growing as the revenues had witnessed over 38 per cent increase and exceeded the target by Rs186 billion.

This means the economy was growing, he said, expecting that it would grow by 5% during the current fiscal year and resultantly it would have a trickledown effect.

He said major sectors of economy including agriculture, industry and services sector were witnessing growth.

He said the Kamyab Pakistan Programme would also be launched soon under which farmers would be provided interest-free loan of Rs150,000 per crop, Rs200,000 interest-free loans on mechanization whereas the urban households would be provided Rs500,000 per family to start businesses.

In addition, the government was also providing loans up to Rs2 million at 2% interest for construction of houses and health cards were also being provided to facilitate the people.

He said that the prime minister was very concerned about the welfare of common people.
About debts, the minister said that the debt-to-GDP ratio came down by 4% last year, expecting that it would come further down during current year.

To a question, the minister said that the government would sincerely negotiate with the International Monetary Fund (IMF). He said, “We had promised to collect revenues of RS5.8 trillion and the collection numbers till date show that the target would be exceeded.”

He said the power sector faces certain challenges, adding that enhancing tariff rates, as advised by the IMF, was not a solution to the issue, so “we would like the IMF to provide space in this matter”.

 

[Gayle_Force]

Im surprised how many people on this thread either dont know what per capita income is or selectively try to ignore it.

Each overseas pakistani here is comparing their country with pakistan and saying oh look we pay more. The amount of money that people make here in a month is the amount people make in 3-4 days with minimum wage in foreign countries

But Pakistan doesn't produce oil, it imports it at international prices. Can you explain how that price will be paid, if not by the end consumer? As pointed out by other posters PTI has already brought taxes down to Rs 17/ltr from Rs 52/ltr during PMLN govt. What can govt really do if international prices are rising? are you suggesting subsidizing it when the overall debt is already out of control?

 

[Bewal Express]

Im surprised how many people on this thread either dont know what per capita income is or selectively try to ignore it.

Each overseas pakistani here is comparing their country with pakistan and saying oh look we pay more. The amount of money that people make here in a month is the amount people make in 3-4 days with minimum wage in foreign countries

What is your solution to the high price of oil and its consequences for the price of petrol?

 

[Savak]

Have you ever lived or been to Pakistan? Yes, Pakistanis have a lot of money that is why 30% of Pakistanis live in poverty and 40% of children have stunted growth!

Increase in petrol affects everyone because transport costs go up which means increase in food prices. And, the poor use motorbikes which run on petrol!

In Germany, the salaries commensurate with inflation. For example, if Pakistanis were to buy one KG of mutton, they would have to use all of their daily income of RS 900! Do you understand?

It is easy to sit in Germany and make such claims. Try living here!

Pakistan is a country where only 1% of the population files taxes. The vast bulk of the economy is undocumented. I have personally witnessed a huge waiting line in resteraunts where an avg family meal ends up costing Rs 20-40k. People still drive luxury vehicles and buy the most expensive cell phones worth lakhs in bulk. The continuous re election of the PPP in Sindh is a testament to the badniyat nature of the people in the country

 

[saeedhk]

Pakistan is a country where only 1% of the population files taxes. The vast bulk of the economy is undocumented. I have personally witnessed a huge waiting line in resteraunts where an avg family meal ends up costing Rs 20-40k. People still drive luxury vehicles and buy the most expensive cell phones worth lakhs in bulk. The continuous re election of the PPP in Sindh is a testament to the badniyat nature of the people in the country

Not paying is not an excuse! For your information, there is tax on every single item in Pakistan. Be it biscuits, baby milk formula or detergent; there is GST on everything including electricity.

I do not really understand that rest of your post. What does that have to do with inflation?

 

[Gayle_Force]

Exactly! Very poor judgement! Now, I know why expats love Imran Khan. Just look at the rate of US dollar!

I am living in Hong Kong. A chicken costs Rs 1000 here but our daily wage is Rs 16000. If we were to buy a chicken, we would only need to spend around 6% of our daily wage! I am appalled why so many expats do not understand this simple rationale!

You are an expat as well right? On topic, there are two things being mixed up here. Oil prices are not just highest ever in history in Pakistan this is a phenomenon the whole world is experiencing due to abnormal level of inflation after the pandemic. I don't think there is a country in the world where income increase match the level of inflation the world is facing right now.

Pakistan is a country with high poverty levels, which is not something PTI created the poverty levels have existed during PMLN and PPP governments and it is the decisions made during those government's tenure that have led Pakistan to a stage where it is unable to meet the inflation challenges from the global pandemic. As a result, the poor suffer even more. There is no short term solution for this as this a result of decades of mismanagement. If we talk about oil, it seems as others mentioned, PTI has reduced taxes considerably since taking over from PMLN. That is really the most they can do at this point other than subsidizing petrol even further,which is just a bandaid not a solution and most likely will lead to a disaster in the future.

The only way Pakistan can come out of this challenge is to become a net exporter of goods and services, which will not happen overnight and will take time. Again, this is a gift given to Pakistani people by PMLN and PPP. Not saying people should not criticize PTI but first take a deep dive as to which parties are the root cause of the current catastrophe.

 

[Major]

What is your solution to the high price of oil and its consequences for the price of petrol?

I have already mentioned before in this thread. Some of the inflation we faced is due to poor policies of the govt that has caused price rise.

As for your question, it is being said that by the start of 2022 petrol prices will be lower internationally, thus it would had made sense if the govt bared the increase instead of putting the increase on consumers. Meaning that tax could had been reduced.

No one is benefitting from the direct tax and indirect tax they pay. As barely any resource is paid back.

Every increase in price of petrol is causing inflation

 

[Major]

But Pakistan doesn't produce oil, it imports it at international prices. Can you explain how that price will be paid, if not by the end consumer? As pointed out by other posters PTI has already brought taxes down to Rs 17/ltr from Rs 52/ltr during PMLN govt. What can govt really do if international prices are rising? are you suggesting subsidizing it when the overall debt is already out of control?

Bro, if the current govt had charged a RS. 30 tax on petrol back in 2020 may, the economic situation wouldnt had been that bad.

Back in 2020, everyone knew that the low prices of petrol was due to excessive supply, thus anytime when the petrol was back on equilibrium that would had meant petrol prices going to its orginal prices.

However, other factories that use petrol in production would had kept a stable price of their products when the petrol went from 100ish to 60ish. However when petrol was back at the market rate, the price of the products that were being made still faced an increase. This was bound to happen.

Had the current govt kept a high tax, it could had made a quick buck and than later reduce the tax rate as soon as petrol was back on the original market rate. This would have had very little effect on the country's inflation.

Plus, the tax that is being charged right now, the govt could had made a quick buck back than, met its targeted revenues and could had bared the brunt of petrol prices of today.


Now the tax burden is on the awam.

 

[Technics 1210]

Not paying is not an excuse! For your information, there is tax on every single item in Pakistan. Be it biscuits, baby milk formula or detergent; there is GST on everything including electricity.

I do not really understand that rest of your post. What does that have to do with inflation?

Go home. The largest tax revenue is income. When did you or the people you know in Pakistan pay taxes? Never. Brown envelopes all the way.

Next time you compare with the west, remember westerners cannot escape taxes, and said nations are still insolvent.

Inflation is related to the supply of money, not paying taxes on income fails to reduce money supply thus rising inflation, and then next step is to raise rates.

Read up on basic economics.

 

[Gayle_Force]

Bro, if the current govt had charged a RS. 30 tax on petrol back in 2020 may, the economic situation wouldnt had been that bad.

Back in 2020, everyone knew that the low prices of petrol was due to excessive supply, thus anytime when the petrol was back on equilibrium that would had meant petrol prices going to its orginal prices.

However, other factories that use petrol in production would had kept a stable price of their products when the petrol went from 100ish to 60ish. However when petrol was back at the market rate, the price of the products that were being made still faced an increase. This was bound to happen.

Had the current govt kept a high tax, it could had made a quick buck and than later reduce the tax rate as soon as petrol was back on the original market rate. This would have had very little effect on the country's inflation.

Plus, the tax that is being charged right now, the govt could had made a quick buck back than, met its targeted revenues and could had bared the brunt of petrol prices of today.


Now the tax burden is on the awam.

I disagree on that point, in May 2020 it was impossible to predict where the world was heading. Most businesses were shut down and there was hardly any economic activity, with no indication of a reopening anytime soon. In fact, most predictions were that a vaccine would not be available for 3-5 years. If IK raised taxes at that time the opposition and all of you would be strangling his neck. Hindsight always makes decisions look easy, no one could have predicted at the time that the world would head towards reopening this quickly.

Do you remember how much flack he got for smart lockdowns? The CM of Sindh doing a pleading drama for IK to not do it (later in a year the CMs party was organizing jalsas all over the country, but thats another story).

 

[Major]

I disagree on that point, in May 2020 it was impossible to predict where the world was heading. Most businesses were shut down and there was hardly any economic activity, with no indication of a reopening anytime soon. In fact, most predictions were that a vaccine would not be available for 3-5 years. If IK raised taxes at that time the opposition and all of you would be strangling his neck. Hindsight always makes decisions look easy, no one could have predicted at the time that the world would head towards reopening this quickly.

Do you remember how much flack he got for smart lockdowns? The CM of Sindh doing a pleading drama for IK to not do it (later in a year the CMs party was organizing jalsas all over the country, but thats another story).

you completely missed my point.

Im talking about the inflation taht is caused by rise of petrol prices.

Back in 2020, If petrol prices in the market went to Rs.60. The govt should not have implemented that price, instead htey could had kept a Rs.30-40 tax on it and let the price of petrol stay the same for general public. If they wanted they could had maybe reduce it by Rs. 5-8. Not more than that.

The reason for that is, the petrol prices were not low because some new sources were found. It was low due to excessive supply due to lock down. Thus, everyone knew, even I knew at the time that this low price is just for time being and after few months it would be back at market rate.

Now when the petrol price came back at market rate, it left its effect. its effect was that companies that use petrol they charged higher prices now. Each increase causes an inflation.

As for the smart lockdown, it was flawed. THe reason why we made it to the UK travel list ban was because of our poor reporting of covid

 

[saeedhk]

Go home. The largest tax revenue is income. When did you or the people you know in Pakistan pay taxes? Never. Brown envelopes all the way.

Next time you compare with the west, remember westerners cannot escape taxes, and said nations are still insolvent.

Inflation is related to the supply of money, not paying taxes on income fails to reduce money supply thus rising inflation, and then next step is to raise rates.

Read up on basic economics.

Inflation is related to industrialists hoarding up basic necessities such as sugar, flour and pulses and the government refusing to act against them. There is absolutely zero check and balance on inflation.

 

[Gayle_Force]

you completely missed my point.

Im talking about the inflation taht is caused by rise of petrol prices.

Back in 2020, If petrol prices in the market went to Rs.60. The govt should not have implemented that price, instead htey could had kept a Rs.30-40 tax on it and let the price of petrol stay the same for general public. If they wanted they could had maybe reduce it by Rs. 5-8. Not more than that.

The reason for that is, the petrol prices were not low because some new sources were found. It was low due to excessive supply due to lock down. Thus, everyone knew, even I knew at the time that this low price is just for time being and after few months it would be back at market rate.

Now when the petrol price came back at market rate, it left its effect. its effect was that companies that use petrol they charged higher prices now. Each increase causes an inflation.

As for the smart lockdown, it was flawed. THe reason why we made it to the UK travel list ban was because of our poor reporting of covid

You do realize that there was excessive supply because no one was buying oil because of the shutdown. If businesses are not buying oil at rs60, they sure as hell will not buy it at rs 90. So I am not sure how much money there was for the government to make.

Smart lockdowns, however flawed, were the only reason Pakistan made out of majority of the pandemic with people not completely starving to death.

 

[Gharib Aadmi]

From the above article

On the hike in petrol price, the minister said that Pakistan stood at 17th among the countries providing the commodity at the lowest prices, adding that the majority of the other 16 countries having lowest prices than Pakistan were oil-producing countries.

What more do you people want? Pakistan has to pay the same for oil as all the other countries who buy it. Instead of complaining be grateful that the price is not higher. It honestly should be.

 

[Gayle_Force]

From the above article


What more do you people want? Pakistan has to pay the same for oil as all the other countries who buy it. Instead of complaining be grateful that the price is not higher. It honestly should be.

They seem to be wanting the government to wave a magic wand and reduce the oil prices further to bring it inline with people's per capita income. No real explanation has yet been provided by anyone as to how the government should do that. The high poverty rate in Pakistan is not a result of PTI government, this has existed for decades due to disastrous policies by prior governments (PPP and PMLN)

 

[Bewal Express]

I have already mentioned before in this thread. Some of the inflation we faced is due to poor policies of the govt that has caused price rise.

As for your question, it is being said that by the start of 2022 petrol prices will be lower internationally, thus it would had made sense if the govt bared the increase instead of putting the increase on consumers. Meaning that tax could had been reduced.

No one is benefitting from the direct tax and indirect tax they pay. As barely any resource is paid back.

Every increase in price of petrol is causing inflation

The drop in oil prices was very temporary and in the inner scheme of things it would have made a small difference. And can you elaborate on your 1st point, which policies in particular. If you are talking about the exchange rate then I have already explained to you that without $, or the willingness to waste borrowed $, its not possible.

 

[srh]

There are 2 simpletons in this thread who are blaming the PTI government for the high price of oil

There are so many things you can blame PTI government for and would be correct but you cannot blame PTI government for the high price of oil. Pakistan is not a producer of oil so they have to buy it from international market and pay the same amount as other countries pays unless an oil producing country sell Pakistan oil on cheap (I remember Saud Arabia has done it couple of times for Pakistan as a favour).

 

[MenInG]

The federal government on Saturday raised the price of petrol by Rs10.49 per litre and that of high speed diesel (HSD) by Rs12.44 per litre.

According to a notification issued by the Finance Division, the new price of petrol, effective from Oct 16 (today), is Rs137.79 per litre while high speed diesel will sell for Rs134.48.

Meanwhile, the prices of kerosene and light diesel oil (LDO) were increased by Rs10.95 and Rs8.84 per litre respectively. The new price of kerosene is Rs110.26 per litre and that of LDO is Rs108.35 per litre.

This is perhaps the first time for which data is publicly available that all the four major petroleum products are being sold above Rs100 per litre in the country.

The notification stated that oil prices in the international market had risen around $85 a barrel which was the highest since October 2018.

"Importantly, entire energy chain prices have witnessed a strong surge in the past couple of months due to higher demand for energy inputs and supply bottlenecks," it further stated.

The government had absorbed the pressure of increasing international rates and provided "maximum relief" to consumers by keeping the petroleum levy and sales tax to a minimum, the Finance Division said.

"Therefore, prices worked out by Ogra (Oil & Gas Regulatory Authority) have been approved," it added.

Sources earlier told Dawn that Ogra had been strictly asked to keep its recommendations confidential as the government may have to go beyond its calculations for price increase to gradually start recouping revenue loss on account of lower that targeted petroleum levy.

The government had raised the price of petrol by Rs4 per litre at the start of the month.

Petrol and HSD are two major products that generate most of revenue for the government because of their massive and yet growing consumption in the country. Average petrol sales are touching 750,000 tonnes per month against the monthly consumption of around 800,000 tonnes of HSD. The sales of kerosene and LDO are generally less than 11,000 and 2,000 tonnes per month, respectively.

Under the revised mechanism, oil prices are revised by the government on a fortnightly basis to pass on international prices published in Platt's Oilgram instead of previous mechanism of monthly calculations on the basis of import cost of the Pakistan State Oil.

DAWN

 

[Bewal Express]

The federal government on Saturday raised the price of petrol by Rs10.49 per litre and that of high speed diesel (HSD) by Rs12.44 per litre.

According to a notification issued by the Finance Division, the new price of petrol, effective from Oct 16 (today), is Rs137.79 per litre while high speed diesel will sell for Rs134.48.

Meanwhile, the prices of kerosene and light diesel oil (LDO) were increased by Rs10.95 and Rs8.84 per litre respectively. The new price of kerosene is Rs110.26 per litre and that of LDO is Rs108.35 per litre.

This is perhaps the first time for which data is publicly available that all the four major petroleum products are being sold above Rs100 per litre in the country.

The notification stated that oil prices in the international market had risen around $85 a barrel which was the highest since October 2018.

"Importantly, entire energy chain prices have witnessed a strong surge in the past couple of months due to higher demand for energy inputs and supply bottlenecks," it further stated.

The government had absorbed the pressure of increasing international rates and provided "maximum relief" to consumers by keeping the petroleum levy and sales tax to a minimum, the Finance Division said.

"Therefore, prices worked out by Ogra (Oil & Gas Regulatory Authority) have been approved," it added.

Sources earlier told Dawn that Ogra had been strictly asked to keep its recommendations confidential as the government may have to go beyond its calculations for price increase to gradually start recouping revenue loss on account of lower that targeted petroleum levy.

The government had raised the price of petrol by Rs4 per litre at the start of the month.

Petrol and HSD are two major products that generate most of revenue for the government because of their massive and yet growing consumption in the country. Average petrol sales are touching 750,000 tonnes per month against the monthly consumption of around 800,000 tonnes of HSD. The sales of kerosene and LDO are generally less than 11,000 and 2,000 tonnes per month, respectively.

Under the revised mechanism, oil prices are revised by the government on a fortnightly basis to pass on international prices published in Platt's Oilgram instead of previous mechanism of monthly calculations on the basis of import cost of the Pakistan State Oil.

DAWN

Its terrible for people in PK and all other countries that rely on oil and gas imports. On the other hand, Its great news for Swiss banks, London Property Market, Casinos and prostitutes.

 

[Major]

SHame on this govt. 137 ruppees. People cant even afford this now.

Inshallah this pm would lose the next election now. Has caused massive inflation in the country and could be going towards hyper

 

[m.shah]

110 in India. It is becoming unaffordable now

 

[mazkhan]

It's tougher for Pakistan because the wages are low in pakistan , labour is cheap in pakistan , humans are cheap.

So any slight rise in basic commodities is felt greater, you can't compare it to the west which has national minium wages and benefits etc .

Khan has totally lost it

 

[mazkhan]

SHame on this govt. 137 ruppees. People cant even afford this now.

Inshallah this pm would lose the next election now. Has caused massive inflation in the country and could be going towards hyper

Instead of riasat e madina he's gonna end creating a riasat e zimbabwe .

Maybe that's why he's planting trees he wants people to live in the jungles like Africans

 

[Major]

It's tougher for Pakistan because the wages are low in pakistan , labour is cheap in pakistan , humans are cheap.

So any slight rise in basic commodities is felt greater, you can't compare it to the west which has national minium wages and benefits etc .

Khan has totally lost it

Stop telling pti fans the pakistan reality, they wont accept it

 

[Major]

Instead of riasat e madina he's gonna end creating a riasat e zimbabwe .

Maybe that's why he's planting trees he wants people to live in the jungles like Africans

Riasat e zimbabwe, true.

We are now moving towards hyper inflation under this govt

 

[Cpt. Rishwat]

110 in India. It is becoming unaffordable now

Rising steadily in the UK as well, gas prices and electricity also shooting up. Imran Khan must be to blame.

 

[Gayle_Force]

SHame on this govt. 137 ruppees. People cant even afford this now.

Inshallah this pm would lose the next election now. Has caused massive inflation in the country and could be going towards hyper

Gas prices are up worldwide not just in Pakistan. There is nothing government can do about it other than subsidizing it further which would be a disastrous move. The government seems to already have reduced taxes on this commodity. This has already been discussed in this thread and you didn’t provide a single viable solution.

Pakistan is not the only poor nation facing this crisis. You can just look at India as an example where poverty levels are high and gas price is even higher than in Pakistan when adjusted for exchange rate.

 

[Gayle_Force]

It's tougher for Pakistan because the wages are low in pakistan , labour is cheap in pakistan , humans are cheap.

So any slight rise in basic commodities is felt greater, you can't compare it to the west which has national minium wages and benefits etc .

Khan has totally lost it

Wages in Pakistan have been low forever. It’s not a new phenomenon. They were low under PPP and PMLN governments as well. Gas prices are based on international trade prices. Pakistan does not produce oil. I am not getting what part about that is so hard for people to understand.

I get some people hate PTI government and there are several legitimate reasons to criticize IK but this is not one of them.

 

[Bewal Express]

Riasat e zimbabwe, true.

We are now moving towards hyper inflation under this govt

Do you any ways to cut the price of oil and petrol? If you have lets hear it? You are about to solve our economic problems.

 

[Major]

This topic has been discussed before, cant bother to repeat for you guys.

All those comparing their uks with pakistan. There is a dofference in income aswell. Will the pti govt set a minimum salary, no they would not. Will they remove the tax on petrol no they would not.

Riyasit e zimbabwe zindabad

 

[Major]

Wages in Pakistan have been low forever. It’s not a new phenomenon. They were low under PPP and PMLN governments as well. Gas prices are based on international trade prices. Pakistan does not produce oil. I am not getting what part about that is so hard for people to understand.

I get some people hate PTI government and there are several legitimate reasons to criticize IK but this is not one of them.

Again nope. Salaries were improved under ppp..

In pakiatan gas prices were based on our supply, but guess what the likes of mushraffe allowed people to use cng in cars instead focussing on keeping it for only house holds

 

[Major]

Gas prices are up worldwide not just in Pakistan. There is nothing government can do about it other than subsidizing it further which would be a disastrous move. The government seems to already have reduced taxes on this commodity. This has already been discussed in this thread and you didn’t provide a single viable solution.

Pakistan is not the only poor nation facing this crisis. You can just look at India as an example where poverty levels are high and gas price is even higher than in Pakistan when adjusted for exchange rate.

As repeated 100 times the comparison is dumb. There is a difference in the salaries paid. In pakistan people barely get a konthly salary of 15-20k

 

[Bewal Express]

This topic has been discussed before, cant bother to repeat for you guys.

All those comparing their uks with pakistan. There is a dofference in income aswell. Will the pti govt set a minimum salary, no they would not. Will they remove the tax on petrol no they would not.

Riyasit e zimbabwe zindabad

But you are making out that it's a PK problem, when everyone and their aunt can tell you that's its a world wide problem. So once again what is your solution to the rising international prices or are you all hot air.

 

[saeedhk]

‘When prices of commodities go up, it means your PM is corrupt.’

I wonder who said the above?

Imran Khan is not paying attention on the economy, but rather focusing on opening sufi research centers, promoting shirk and encouraging people to become malangs (mystics).

Our PM has become too obsessed with peeri mureedi and darbars. This is sickening as I thought being an Oxford graduate, Imran would be a progressive leader.

 

[Cpt. Rishwat]

But you are making out that it's a PK problem, when everyone and their aunt can tell you that's its a world wide problem. So once again what is your solution to the rising international prices or are you all hot air.

I am hearing this sort of crap from relatives in Pakistan as well. Some of them are just too dumb to understand that energy prices are beyond the control of Imran Khan. Not that surprising when you have posters on here displaying the same mentality. They really think bringing PPP or Nawaz Sharif will fix it.

It's a shame because looks like IK's govt won't get through another election due to the general ignorance of the masses. We'll be back to third rate gangsters looting the exchequer before too long.

 

[Gayle_Force]

As repeated 100 times the comparison is dumb. There is a difference in the salaries paid. In pakistan people barely get a konthly salary of 15-20k

Pakistan has a national minimum wage of Rs17,500/mth (USD $102/mth) which actually seems to be higher than the national minimum wage in India of Rs 4,576/ mth (USD $62/mth). So the comparison is actually very fair.

source: https://www.india-briefing.com/news/guide-minimum-wage-india-2021-19406.html/

 

[saeedhk]

Pakistan has a national minimum wage of Rs17,500/mth (USD $102/mth) which actually seems to be higher than the national minimum wage in India of Rs 4,576/ mth (USD $62/mth). So the comparison is actually very fair.

source: https://www.india-briefing.com/news/guide-minimum-wage-india-2021-19406.html/

The minimum wage in Pakistan is just on paper. My two cousins work at a clothes shop and they are paid Rs 5000. Nobody pays Rs 17500!

 

[Gayle_Force]

‘When prices of commodities go up, it means your PM is corrupt.’

I wonder who said the above?

Imran Khan is not paying attention on the economy, but rather focusing on opening sufi research centers, promoting shirk and encouraging people to become malangs (mystics).

Our PM has become too obsessed with peeri mureedi and darbars. This is sickening as I thought being an Oxford graduate, Imran would be a progressive leader.

The government has reduced tax on petroleum to 17 pc from unto 52 pc during PMLN government tenure. Can you please provide a solution as to what more they can do?

 

[Gayle_Force]

The minimum wage in Pakistan is just on paper. My two cousins work at a clothes shop and they are paid Rs 5000. Nobody pays Rs 17500!

Undocumented workers exist in both India and Pakistan. That is why the comparison is more than fair. Tbh comparison can be made with any country with high poverty levels and there would be similar results.

Again, please provide a solution. Pakistan does not produce oil it has to import it at international trade prices. Already there is hardly any tax being charged to the consumer. Pakistan also has the 17th lowest gas price in world which seems incredible for a non oil producing nation.What more can be done? Please enlighten us

 

[LaLoco]

‘When prices of commodities go up, it means your PM is corrupt.’

I wonder who said the above?

Imran Khan is not paying attention on the economy, but rather focusing on opening sufi research centers, promoting shirk and encouraging people to become malangs (mystics).

Our PM has become too obsessed with peeri mureedi and darbars. This is sickening as I thought being an Oxford graduate, Imran would be a progressive leader.

IK is not paying to attention to economy - what did you wish him to do? Provide a detail answer.

Sufi research center - what’s wrong with that? How does that impact you or anyone? How one a research anything could be looked negatively? Isn’t Sufism part of Pak culture that can be promoted as tourism?

How has he promoted shirk? Explain, I don’t know anyone who has become malang since had become PM, do you?

He is a progressive leader, progressive mean, promoting and creating social net for the people of Pakistan, which he has.

 

[Savak]

Political parties in Pakistan are forced to make popular decisions with the masses even if it is against National Interest. PPP and PML N would have bankrupt the coffers work unaffordable subsidies on oil prices to the local consumer, pumping billions of our reserves to artificially reduce the $ PKR rate

 

[Bewal Express]

I am hearing this sort of crap from relatives in Pakistan as well. Some of them are just too dumb to understand that energy prices are beyond the control of Imran Khan. Not that surprising when you have posters on here displaying the same mentality. They really think bringing PPP or Nawaz Sharif will fix it.

It's a shame because looks like IK's govt won't get through another election due to the general ignorance of the masses. We'll be back to third rate gangsters looting the exchequer before too long.

The PK based posters are supposedly the educated ones but WHEN you read their stuff and it makes you wonder what they have majored in, and are you surprised the uneducated ones are spouting rubbish if these guys dont understand.
I mentioned at the start of the IKs govt that the International oil price will be one of the crucial determinants of success of IKs govt and bar the blip with the Pandemic, its heading Northwards. The fact is that the long term predicted oil price is $150+ and it will be interesting when the Nooras and PPP have to deal with it. This problem isnt going away and whether its Nani or Billo, there will be no magic wand.

 

[Bewal Express]

Undocumented workers exist in both India and Pakistan. That is why the comparison is more than fair. Tbh comparison can be made with any country with high poverty levels and there would be similar results.

Again, please provide a solution. Pakistan does not produce oil it has to import it at international trade prices. Already there is hardly any tax being charged to the consumer. Pakistan also has the 17th lowest gas price in world which seems incredible for a non oil producing nation.What more can be done? Please enlighten us

17th lowest and still its IKs fault. Me thinks these guys have another agenda. [MENTION=135038]Major[/MENTION] is that true?

 

[Bewal Express]

The government has reduced tax on petroleum to 17 pc from unto 52 pc during PMLN government tenure. Can you please provide a solution as to what more they can do?

You dont expect people in Delhi to find solutions do you?

 

[Bewal Express]

Political parties in Pakistan are forced to make popular decisions with the masses even if it is against National Interest. PPP and PML N would have bankrupt the coffers work unaffordable subsidies on oil prices to the local consumer, pumping billions of our reserves to artificially reduce the $ PKR rate

Exports were higher under Mush than these crooks, they had been dropping for a decade( some idiot even laughed at CAD and said the govt was obsessed with it) and then we ran out of Foreign Currency. When they come to power, let these crooked guys find Dollars from their backside, when they destroyed our industry with an inflated Rp which didnt reflect economic realities when they were in power

 

[Gharib Aadmi]

‘When prices of commodities go up, it means your PM is corrupt.’

I wonder who said the above?

Imran Khan is not paying attention on the economy, but rather focusing on opening sufi research centers, promoting shirk and encouraging people to become malangs (mystics).

Our PM has become too obsessed with peeri mureedi and darbars. This is sickening as I thought being an Oxford graduate, Imran would be a progressive leader.

So you cant focus on multiple things at once?

BTW the price of petrol in Hong Kong is 444 PKR.

https://www.globalpetrolprices.com/gasoline_prices/

 

[MoJoJoJo]

Petrol is very cheap in Pakistan when compared to what other countries pay.

Here are the prices for a litre in USD as of 27-Sep-2021.

Pakistan - 0.727
India - 1.389
Bangladesh - 1.041
Nepal - 1.103
Sri Lanka - 0.920
US - 0.935
UK - 1.870
Israel - 2.037

https://www.globalpetrolprices.com/gasoline_prices/

Pakistanis are not entitled to cheap petrol. If anything IK should raise the prices, and end the subsidy.

devalue rupee more and petroleum prices will get cheaper in dollar terms

 

[Gharib Aadmi]

Here are the prices for a litre in PKR as of 11-OCT-2021.

India - 239 PKR
Bhutan - 175 PKR
Nepal - 184 PKR
Bangladesh - 178 PKR
Sri Lanka - 157 PKR

https://www.globalpetrolprices.com/gasoline_prices/

Pakistanis are still paying the lowest price in the subcontinent. Unfortunately Pakistan is not an oil producer, and Pakistanis cant get a discount in the global market because they are part of a poor country. Be grateful the price is not higher.

 

[Gharib Aadmi]

devalue rupee more and petroleum prices will get cheaper in dollar terms

You can see the price in PKR, Pakistanis are still paying a low price. Mostly because IK reduced the taxes on petrol.

 

[saeedhk]

So you cant focus on multiple things at once?

BTW the price of petrol in Hong Kong is 444 PKR.

https://www.globalpetrolprices.com/gasoline_prices/

Imran is fixated on all this spirituality and peer nonsense! Just check out his speeches and you would know!

And the average construction worker in Hong Kong makes at least RS 17000 per day!

 

[Gayle_Force]

devalue rupee more and petroleum prices will get cheaper in dollar terms

From what I know Pakistan has to buy oil internationally in USD not PKR so petrol prices should not get ‘cheaper’ in dollar terms.

 

[Gharib Aadmi]

Imran is fixated on all this spirituality and peer nonsense! Just check out his speeches and you would know!

And the average construction worker in Hong Kong makes at least RS 17000 per day!

Even if its nonsense, IK is a politician from Pakistan not Sweden. Their are far more conservative voters, than woke liberals.

The fourth bet that PM Khan seems to have made, is that right-leaning populism is a more certain political bargain than progressive realism. Many attribute the regular stream of gaffes that PM Khan seems to make – on issues like the Taliban and what they stand for, or what constitutes the core of women’s rights and sexual abuse, or on the definition of Pakhtun nationalism – to PM Khan’s sketchy understanding of facts, and of history. But the frequency and regularity of these gaffes demands an alternative theory to help explain this seemingly constant appeal to the Pakistani right wing.

Here’s a thought experiment: who would be the principal challenger to the PTI in Punjab if there were no PML-N? I would argue that the principal challenger to both the PTI and the PML-N (their voters aren’t as different as they would like to think) is a group like the Tehreek-e-Labbaik Pakistan (TLP). With radical right-wing extremists now mainstreamed – thanks to the Faizabad dharna and all the laboratory manufactured paraphernalia that came with it – the imagination of the young Pakistani voter is now split between whether the system in place (the Islamic republic) can EVER deliver for the people, or whether Pakistan needs a wholesale change.

The TLP offers a pantomime of reform that leans into the perfect storm of class warfare, cultural wars and global shifts. The reasons PM Khan often sounds incredibly lacking in sophistication on issues that he ought to be clear on – women’s rights; the genesis of Talibanisation; the place of post-Zia religiosity in the public domain – is because he is betting on his capacity to outflank the radical right-wing challenge to the overall system. This is a bet that most reluctant populists have made and lost, in a lot of places. There is little to suggest PM Khan will necessarily be different.

https://www.thenews.com.pk/print/895787-how-pm-khan-and-pti-win-2023

 

[saeedhk]

Even if its nonsense, IK is a politician from Pakistan not Sweden. Their are far more conservative voters, than woke liberals.




https://www.thenews.com.pk/print/895787-how-pm-khan-and-pti-win-2023

Imran is from Pakistan so it is fine if peddles superstitions and encourages Pakistanis to become malangs instead of providing them with education. Wonderful logic! His competency can be gauged from the fact that he visited Jannati Darwaza - a door in Pakistan where it is believed that if one passes through it, he is guaranteed a place in Jannah.

 

[Bewal Express]

devalue rupee more and petroleum prices will get cheaper in dollar terms

So based on your hypothesis the price of oil should be cheaper in the UK as the £ has been historically stronger than the dollar. Lol

 

[Bewal Express]

Imran is from Pakistan so it is fine if peddles superstitions and encourages Pakistanis to become malangs instead of providing them with education. Wonderful logic! His competency can be gauged from the fact that he visited Jannati Darwaza - a door in Pakistan where it is believed that if one passes through it, he is guaranteed a place in Jannah.

So if he didn't do all this, then the price of International commodities would drop. Thanks for you educated reply

 

[Gayle_Force]

Imran is fixated on all this spirituality and peer nonsense! Just check out his speeches and you would know!

And the average construction worker in Hong Kong makes at least RS 17000 per day!

It’s funny that for Pakistan you choose to use salaries for lowest unskilled minimum wage labour but for Hong Kong you choose to use salaries of workers in the construction industry which usually require specific skills.

Construction workers in Pakistan are definitely earning much more than the minimum wage of Rs 17,500/mth.

 

[street cricketer]

Pakistan is caught in a debt cycle. The thing is, even the current prices of petrol in Pakistan is a lot less when compared to its neighbouring countries. The fact of the matter is Pakistan has been subsidising fuel and electricity for decades. Subsidies in themselves might relieve the cost burden for the common people, but the problem is, if you import something for 20$ and sell it to the people for 10$, the remaining 10$ will be a loss for the government. You keep the subsidies running for a long time and it will add a huge hole in the pocket of the government.

India realised this and deregulated the fuel prices and adjusted it according to the market prices in 2010.

"Deregulation of fuel prices ‘much needed’ reform, says Manmohan"

Asked about the opposition to the fuel price hike and reservations even among the allies, Dr. Singh said he had read about the intentions of the Opposition and had not talked to anyone in the political establishment.

“What I am considering is that what we have done by way of adjusting the petroleum prices is that people of India would appreciate the compulsions, which have compelled us to undertake this measure.

“And our people are wise enough to understand that excessive populism should not be allowed to derail the progress our country is making and for which it is winning kudos internationally as well,” Dr. Singh said.

He also dismissed suggestions that the decision on petroleum prices was taken under pressure from some countries. “There is no pressure on the Government of India from any quarter. What we need is to do the right things by our country. The subsidies for the petroleum products have reached a level which is not connected to sound financial management of our economy.

“So it is taking this into account that this decision has been taken to put some burden on the common people, but I think it is manageable,” the Prime Minister said.

https://www.thehindu.com/news/natio...squo-reform-says-Manmohan/article16272135.ece

Now it's not something as easy as simply increasing the cost of fuel prices by cutting subsidies too. Pakistan's per capita income has stagnated in the last 15 or so years in comparison to its neighbours and that's because of the fact that it imports far more than it exports, among various other reasons. This leads to widening of the trade and budget deficits leading to an increase in government debt. This has resulted in the Pakistani currency getting devaluated a lot in the last decade. It also leads to an increase in inflation rate, jacking up the prices of commodities within the country. So if you simply cut all subsidies and increase the prices according to global prices, that will only lead to people buying less fuel which will result in lesser economic activity happening in the nation. It is about striking a fine balance so that the prices are not artificially too low that it punches a hole in the pocket of the govt every year or it is too high that it makes it unaffordable for the common people thereby negatively affecting the economic activity within the country.

 

[Major]

I am hearing this sort of crap from relatives in Pakistan as well. Some of them are just too dumb to understand that energy prices are beyond the control of Imran Khan. Not that surprising when you have posters on here displaying the same mentality. They really think bringing PPP or Nawaz Sharif will fix it.

It's a shame because looks like IK's govt won't get through another election due to the general ignorance of the masses. We'll be back to third rate gangsters looting the exchequer before too long.

Yes, people like you who dont live in a country will dictate who we should vote... Specially coming from someone who tries to portray himself british yet takes interest in our politics without even knowing zilch of what takes place.

All of us locals are dumb, the people who ran away from the country are the experts...

Imran khan did his election campaign on oil prices. He messed up policies in the first place and now he can remove the tax on petrol which he wont.

And again stop comparing with countries that have better wages

 

[Major]

Here are the prices for a litre in PKR as of 11-OCT-2021.

India - 239 PKR
Bhutan - 175 PKR
Nepal - 184 PKR
Bangladesh - 178 PKR
Sri Lanka - 157 PKR

https://www.globalpetrolprices.com/gasoline_prices/

Pakistanis are still paying the lowest price in the subcontinent. Unfortunately Pakistan is not an oil producer, and Pakistanis cant get a discount in the global market because they are part of a poor country. Be grateful the price is not higher.

Bascially you are saying we should be great ful to pti.... Nice logic

 

[Gayle_Force]

Pakistan is caught in a debt cycle. The thing is, even the current prices of petrol in Pakistan is a lot less when compared to its neighbouring countries. The fact of the matter is Pakistan has been subsidising fuel and electricity for decades. Subsidies in themselves might relieve the cost burden for the common people, but the problem is, if you import something for 20$ and sell it to the people for 10$, the remaining 10$ will be a loss for the government. You keep the subsidies running for a long time and it will add a huge hole in the pocket of the government.

India realised this and deregulated the fuel prices and adjusted it according to the market prices in 2010.

"Deregulation of fuel prices ‘much needed’ reform, says Manmohan"



https://www.thehindu.com/news/natio...squo-reform-says-Manmohan/article16272135.ece

Now it's not something as easy as simply increasing the cost of fuel prices by cutting subsidies too. Pakistan's per capita income has stagnated in the last 15 or so years in comparison to its neighbours and that's because of the fact that it imports far more than it exports, among various other reasons. This leads to widening of the trade and budget deficits leading to an increase in government debt. This has resulted in the Pakistani currency getting devaluated a lot in the last decade. It also leads to an increase in inflation rate, jacking up the prices of commodities within the country. So if you simply cut all subsidies and increase the prices according to global prices, that will only lead to people buying less fuel which will result in lesser economic activity happening in the nation. It is about striking a fine balance so that the prices are not artificially too low that it punches a hole in the pocket of the govt every year or it is too high that it makes it unaffordable for the common people thereby negatively affecting the economic activity within the country.

That is a fair assessment and this is not a problem created today or in the last three-four years. Some people on this thread fail to realize that this is a problem created by mismanagement over the last several decades. There is no magic wand that will correct this issue overnight. It is an unfortunate situation that will hit the hardest to those in extreme poverty but it is a bitter pill that the country needs to swallow if people ever hope to come out of the mess. More subsidies cannot be the answer.

Tbh i don't think the PMLN government is criticized enough for artificially keeping PKR inflated that alone did so much damage Pakistan's economy and it should be unforgivable.

 

[Gayle_Force]

Bascially you are saying we should be great ful to pti.... Nice logic

You should criticize PTI for legitimate things that they have control over. For example, they genuinely deserve criticism for the sugar prices fiasco as Sugar is a locally produced good and they should've handled that situation better. However, yhey have no control over oil prices. It has been discussed to death in this thread. They have already reduced taxed considerably on this commodity. Pakistan is already in the bottom quartile of countries with the lowest gas prices. Pakistan can't further subsidize this commodity as articulated very well by [MENTION=139664]street cricketer[/MENTION]

When you talk about low wages. Sure you can criticize PTI but how can you turn a blind eye to PMLN and PPP whose policies have led to the current mess the country is in? Also, as pointed out to you India has a lower national minimum wage than Pakistan and higher gas prices so that is a fair comparison.

 

[Bewal Express]

Pakistan is caught in a debt cycle. The thing is, even the current prices of petrol in Pakistan is a lot less when compared to its neighbouring countries. The fact of the matter is Pakistan has been subsidising fuel and electricity for decades. Subsidies in themselves might relieve the cost burden for the common people, but the problem is, if you import something for 20$ and sell it to the people for 10$, the remaining 10$ will be a loss for the government. You keep the subsidies running for a long time and it will add a huge hole in the pocket of the government.

India realised this and deregulated the fuel prices and adjusted it according to the market prices in 2010.

"Deregulation of fuel prices ‘much needed’ reform, says Manmohan"



https://www.thehindu.com/news/natio...squo-reform-says-Manmohan/article16272135.ece

Now it's not something as easy as simply increasing the cost of fuel prices by cutting subsidies too. Pakistan's per capita income has stagnated in the last 15 or so years in comparison to its neighbours and that's because of the fact that it imports far more than it exports, among various other reasons. This leads to widening of the trade and budget deficits leading to an increase in government debt. This has resulted in the Pakistani currency getting devaluated a lot in the last decade. It also leads to an increase in inflation rate, jacking up the prices of commodities within the country. So if you simply cut all subsidies and increase the prices according to global prices, that will only lead to people buying less fuel which will result in lesser economic activity happening in the nation. It is about striking a fine balance so that the prices are not artificially too low that it punches a hole in the pocket of the govt every year or it is too high that it makes it unaffordable for the common people thereby negatively affecting the economic activity within the country.

You are trying to explain the ABC of economics to guys that don't have the faintest idea what you are on about. My fear is that we are no where near the end game of the pain because prices will hit $150 within a year or 2 and we don't have the capacity to deal with this shock. But I am sure Billo and Maryam will join forces to produce the oil that we need after 2023.

 

[srh]

SHame on this govt. 137 ruppees. People cant even afford this now.

Inshallah this pm would lose the next election now. Has caused massive inflation in the country and could be going towards hyper

137 Pak Rs. equals to 1 C$. Here in Canada I am paying 1.44 C$ which equals to 200 Pak Rs. So pertrol is considerably cheaper in Pakistan than Canada.

 

[Bewal Express]

Bascially you are saying we should be great ful to pti.... Nice logic

What was the tax rate under the Nooras and PPP? And let's say we reduce it zero, the impact will be short lived as prices are going to go upto a $100 soon and much higher in the medium term. The problem of a non productive economy takes years to solve. IK has already made a small difference to exports and with the news that huge investment is going to textiles because of govt policies , our exports will increase but from point of view the future look bleak. Lets get Billo and Maryam to solve our structural problems that their parents helped to create

 

[Major]

137 Pak Rs. equals to 1 C$. Here in Canada I am paying 1.44 C$ which equals to 200 Pak Rs. So pertrol is considerably cheaper in Pakistan than Canada.

I dont care what you pay in canada for petrol because you get paid with a proper minimum wage that is adjusted with the inflation aswell.

 

[drubwrubnat]

Petrol is 117 in Maharashtra today, which is pkr 267 per litre.

Still pakistan is better for fuel, but in my view 1 solution can be to invite companies like amazon to help curb inflation in pakistan. Amazon is boon for customers and bane for retailers.

About the whole comparison with uk, canada, dxb - its totally unfair to compare prices of commodities in uk vis-à-vis Pakistan because of the wage differences.

So its hard to say, that people who are making this comparison, are not shedding crocodile tears as they must be fully aware of this fact.

Taxes and labour is high in the uk, but still they have lot of thrift stores, and food is also pretty cheap there.

 

[Gayle_Force]

Petrol is 117 in Maharashtra today, which is pkr 267 per litre.

Still pakistan is better for fuel, but in my view 1 solution can be to invite companies like amazon to help curb inflation in pakistan. Amazon is boon for customers and bane for retailers.

About the whole comparison with uk, canada, dxb - its totally unfair to compare prices of commodities in uk vis-à-vis Pakistan because of the wage differences.

So its hard to say, that people who are making this comparison, are not shedding crocodile tears as they must be fully aware of this fact.

Taxes and labour is high in the uk, but still they have lot of thrift stores, and food is also pretty cheap there.

Its not about comparison with rich countries. Pakistan has to import petrol as it is not locally produced commodity. Therefore, there is very limited control the government has over the pricing. It just doesn't make sense how the current government can be blamed, which is what some posters are doing here. You just mentioned that petrol in Maharashtra is double what it costs in Pakistan, to me that shows that government in Pakistan is doing everything it can to keep the prices as low as possible.

 

[Gharib Aadmi]

Bascially you are saying we should be great ful to pti.... Nice logic

Yes, because they greatly reduced the tax of petrol. From Hammad Azhar:

He said that the incumbent government has reduced the petroleum levy from 30% to 5.5%.

https://www.thenews.com.pk/latest/900950-gas-is-cheaper-in-pakistan-compared-to-india-hammad-azhar

 

[OMB]

‘We are not on another planet,’ Fawad responds to outrage on petrol price hike
Information minister advises population to 'face difficulties as a nation'

Federal Minister for Information Fawad Chaudhry said on Sunday that if petroleum and gas prices increase around the world, they will also increase in Pakistan.

Responding to the outrage regarding the recent increase in petroleum and gas prices, the minister stated that the propaganda about the rise in prices is as if “we are on a separate planet from earth”.

“The whole country cannot run on subsidies,” Fawad said, emphasising that the prices will reduce in Pakistan once they reduce around the world.

“Today the prices are high, tomorrow when they will decrease, they will subsequently decrease in Pakistan too,” he maintained.

Fawad encouraged people to “face difficulties together as a “nation”, claiming that economic difficulties are temporary.

The minister said that the industry, agriculture and construction sectors are making “historic profits” and that the private sector should increase salaries of the working class.

“An increase in salaries is the way to break the hike in prices,” he stated.

Fawad’s remarks came a day after the ruling Pakistan Tehreek-e-Insaf made major increases in the prices of two petroleum products –petrol and High-Speed Diesel (HSD) – which are widely used by the public. The HSD went up by Rs12.44 per litre and petrol by Rs10.49 per litre.

https://tribune.com.pk/story/2325240/we-are-not-on-another-planet-fawad-responds-to-outrage-on-petrol-price-hike