As part of ongoing negotiations with the IMF on a rescue package, the federal government is anticipated to increase the price of gasoline and diesel by Rs 30 per litre.
A further hike is anticipated, according to local media sources, because a country that is tight for cash decided to apply a general sales tax (GST) on petroleum products as an additional step. Islamabad has been ordered by the lender to increase energy and gas prices, enact a general sales tax (GST), and privatise some state-owned businesses.
The mission demanded that the coalition government ensure an audit of various state departments in addition to loosening up the tax provision culture.
Currently, the price of a basic good is Rs249.80 per litre for petrol, Rs262.80 for high-speed diesel, Rs189.83 for kerosene oil, and Rs187 for light-speed diesel. After the implementation of GST, the price of basic goods will reach Rs280 per litre.
It also alarmed anxious individuals because the government last month detonated a petrol bomb by raising the cost of petroleum products up to Rs35 per litre.
At a time when the nation’s foreign exchange reserves have once again dropped to an alarming $3.1 billion, the lender demanded that the cash-strapped nation keep its promise to enact new taxes in order to revive the $6.5 billion bailout package.
According to sources, over the seven-day period amid the biggest crisis, inflation soared to a 14-week high of 2.83 percent week-over-week.