Major hike in petrol and diesel prices expected in Pakistan

Pakistan is bracing for a significant surge in fuel prices, with High Speed Diesel (HSD) and Motor Spirit (MS) petrol expected to rise sharply.

According to financial analysts at Arif Habib Limited, petrol prices may jump by Rs. 21 per liter, while diesel could climb by as much as Rs. 27 per liter.

The price hikes come amid escalating tensions in the Middle East, particularly the ongoing conflict involving Israel and Iran. Since June 13, 2025, international prices for key fuels have soared. Gas Oil prices rose by 9.6% to USD 93.3 per barrel, and Gasoline increased by 4.5% to USD 83.4 per barrel as of June 20, 2025.

Expected New Local Fuel Prices

If these global trends continue, Pakistan could see the new petrol price reach approximately Rs. 279-280 per liter, and High Speed Diesel could cost around Rs. 289-290 per liter. These changes are anticipated to be implemented from July 1, 2025.

This anticipated increase follows a recent government announcement on June 15, when petrol and diesel prices were already raised by Rs. 4.80 and Rs. 7.95 per liter, respectively, for the final two weeks of the fiscal year 2024-25. The continuous rise in international fuel prices suggests further pressure on domestic costs.

With the geopolitical crisis showing no immediate signs of resolution, consumers should prepare for rising fuel expenses, which may impact transportation costs and overall inflation in the coming months.