The prices of key petroleum products are estimated to jump by up to Pakistani Rs 6.30 per litre on January 15 for the next fortnight, local media reported on Friday.
The prices of petrol (motor gasoline) and high-speed diesel (HSD) had been worked out to go up by about Pakistani Rs 5.30 and Pakistani Rs 5.80 per litre, respectively, based on the existing tax rates, import parity price and exchange rate, Dawn reported citing sources.
Likewise, the prices of kerosene and light diesel oil (LDO) are also estimated to go up by Pakistani Rs 5.80 and Pakistani Rs 6.30 per litre, respectively.
According to Dawn, an official said the Imran Khan-led government could slightly reduce sales tax on petroleum products if it decides to minimise inflationary pressures on the public, but it would largely depend on its engagements with the International Monetary Fund (IMF) for the revival of a USD 6 billion programme.
In recent months, the government has been increasing petroleum levy and general sales tax (GST) on an alternate fortnight basis as part of its negotiations with the IMF. The levy would keep going up by Pakistani Rs 4 on the first of every month until it reached a maximum of Pakistani Rs 30 per litre and GST adjustments would take place on the 15th of every month depending on the price cushion, the Pakistani publication reported.
At present, the government has been charging a tax of about Pakistani Rs 35 per litre on petrol and about Pakistani Rs 30.50 per litre on HSD.
The taxes on a litre of petrol include Pakistani Rs 17.13 petroleum levy, Pakistani Rs 7.31 (5.45pc) GST and Rs10 customs duty. The per-litre HSD price includes Pakistani Rs17.62 petroleum levy, Pakistani Rs 3.53 (2.5pc) GST and Pakistani Rs 9.26 customs duty, Dawn reported.
( With inputs from ANI )
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