The public has demanded relief from inflation in response to the substantial reduction in petrol prices by the caretaker government, as they recognize the potential impact on their daily lives.
The government has made adjustments to petroleum prices for the current fortnight, reducing the price of motor spirit oil (petrol) by Rs40 per liter and high-speed diesel (HSD) by Rs15.
The Finance Division has stated that this decision to reduce petroleum prices is in line with the global trend of decreasing petroleum prices and the appreciation of the rupee against the US dollar. The reduced prices for petrol and HSD will come into effect from October 16.
While the public welcomes the reduction in petroleum prices, they are also calling for relief from overall inflation. They emphasize that fluctuations in fuel prices have a ripple effect on essential items, public transportation fares, and shipping costs, negatively impacting the common man.
In September 2023, Pakistan’s Consumer Price Index (CPI) witnessed a significant increase in headline inflation, reaching a four-month high of 31.4%, compared to 27.4% in August.
People anticipate that the government’s reduction in petrol and diesel prices will result in lower prices for everyday goods, transportation, and essential commodities.
Some, like Khurram Shahzad, express concern about public transport fares remaining high despite reduced fuel prices. He calls for the revision and regulation of public transport fares and the display of updated fare charts in vehicles.
The business community also praises the government’s decision to lower petroleum prices, seeing it as a positive step in addressing inflation and providing relief to the public. They attribute these positive developments to the government’s efforts to combat illicit trade and smuggling of essential goods, which has strengthened the local currency against the dollar.
Leaders in the industrial sector, including Muhammad Ahmad and Faad Waheed, welcome the government’s move and anticipate it will reduce transportation costs and lead to lower prices for everyday items, benefiting the general public and the economy. However, there are concerns about potential fluctuations in the dollar-to-rupee exchange rate and the need to stimulate economic activities to further alleviate the high inflation rate.