A day after taking charge, Caretaker Prime Minister Anwaar-ul-Haq Kakar approved a Rs17.50 hike in petrol price and Rs20 in the price of high-speed diesel (HSD).

After the hike, petrol will be available at Rs290.45 per litre and HSD at Rs293.40 per litre.

Business Recorder had reported earlier that Pakistan could raise petroleum prices by Rs14 to Rs24 per litre by the next bi-monthly review (August 16-31) due to rising prices in the international market.

In a press release, the Ministry of Finance stated that petroleum prices in the international market have increased during the last fortnight and, as a result, rates in Pakistan are also being revised.

Last month, the coalition government increased petrol and HSD prices by nearly Rs20 with effect from August 1, 2023.

The twin hikes, which amount to Rs37.45 or 14.8% in the case of petrol and Rs39.9 or 15.7% for diesel, raise fears of further inflation in the country that is currently battling an economic crisis triggered by low foreign exchange reserves.