Miftah Ismail announces to increase petrol and diesel by Rs 30 per liter
ISLAMABAD, June 02 (SABAH): Federal Minister for Finance and Revenue Dr. Miftah Ismail Ahmed has announces to increase petrol and diesel by Rs 30 per liter from 12:00 PM today (Friday). Miftah Ismail said that he assures Pakistan will not be defaulted and broken; rather it will be further strengthened. After the latest round of hike, petrol will be priced at Rs209.86, diesel at Rs204.15, kerosene oil at Rs181.94 and light diesel at Rs178.31.
This was stated by Miftah Ismail while addressing a press conference on thursaday. Miftah Ismail said Prime Minister Shehbaz Sharif has approved hiking the price of petrol, diesel, and light diesel by Rs30 per litre, while the rate of kerosene oil has been hiked by Rs26.38 per litre. “…kerosene oil is the only commodity which is not leading to losses for the government. However, we are facing losses of Rs8 on light diesel, Rs9 on petrol, and Rs23 on high-speed diesel,” he said.
He said that the government is facign loss of Rs 54 on per liter diesel, adding that if one billion liters diesel is sold monthly it costs Rs 54 billion loss to the country. He said that the government is facign Rs 37 loss on per liter petrol, adding that if one billion liter petrol is sold monthly it costs Rs 37 billion loss to the government. He said that collective loss of diesel and petrol monthly is Rs 91 billion.
The finance minister acknowledged that the lower-income segment of society would be affected the most as a result of the petrol price hike, but noted that the rate of oil has also sky-rocketed in the international market.
In response to a question, the finance minister said he was hopeful of reaching an agreement with the IMF in June, but noted that there were some reforms that the government still had to do. “The IMF wants to see our budget, so the reforms that we want to introduce will be introduced before the budget. However, we are speaking to the IMF on a daily basis,” he said.
Ismail said the price hike was inevitable as he had to strike a deal with the international money lender as ex-finance minister Shaukat Tarin had “tied the government’s hands” due to the agreements he made with the IMF during his tenure.
In a bid to ease the effect of inflation on the masses, the finance minister said the government would try its best to keep the price of sugar fixed at Rs70 per kg and wheat at Rs40 per kg at the utility stores.
The finance minister said the government was giving subsides of Rs100 on cooking oil and Rs15 on rice and pulses at the utility stores across the country. “The subsidies on cooking oil and ghee will continue for some time, but we will try to ensure — in line with PM Shehaz Sharif’s directions — to keep the rates of sugar and wheat fixed.”
Meanwhyile Miftah Ismail has directed the authorities concerned to expedite the process for import of edible oil from Malaysia and Indonesia to ensure the smooth supply to the consumers.
Presiding over a meeting of the committee on edible oil availability in Islamabad on Thursday, he also directed that required steps should be undertaken to enhance the local production, so that its impact on foreign exchange reserves could be minimized.
The Committee was apprised that sufficient stock of edible oil is available in the country.
The proposals for the future requirements and import of edible oil for bridging the supply-demand gap were also discussed.
Moreover, the impact of importing edible oil on foreign exchange reserves was also highlighted during the meeting. It was informed that the price of edible oil is rising globally which would have significant impact on the trade bill of Pakistan.
Federal Minister Rana Tanveer Hussain also gave workable option to enhance local production of Canola oil seeds for import substitution and to ensure availability of the commodity in the wake of global pressure on supply chain.
Federal Minister for Industries and Production Syed Murtaza Mahmud, Federal Minister for Federal Education and Professional Training Rana Tanveer Hussain, Secretary Ministry of Industries and Production, Chairman FBR and senior officers attended the meeting.
Meanwhile Miftah Ismail held a meeting with a delegation of All Pakistan Jewelers Association led by its president Shehzad Iqbal at Finance Division on Thursday. Chairman FBR and senior officers from Finance and Commerce Ministries attended the meeting. The delegation gave an overview of the jewelry sector in Pakistan and its contribution in the economy. They also highlighted the issues being faced by the Jewelers community regarding taxation and sought government’s support to address their issues and provide relief in taxation. It was apprised that these issues are proving as a great hindrance in the development of this sector.
The Finance Minister highlighted the commitment of the present government to provide conducive and friendly environment to business community in Pakistan. He acknowledged the contribution of Jewelry sector in the economic development and assured the delegation to provide maximum relief in taxation to this sector.
The Finance Minister further emphasized the Jewelers to play due role in strengthening of the national economy by enhancing the export of Jewelry. The delegation thanked the Finance Minister for addressing their issues and assured the Finance Minister about growth of this sector with cooperation of present government.
The delegation included Ayaz – Karat Jeweller, Irfan Samana – ARY Jewellers, Salman Hanif – Hanif Jewellers, and Salem Hemani – Aliel Jewellers, Naseem Akhtar Sheikh – Former President ICAP.