International oil prices have climbed above $90 per barrel again, raising concerns that petrol and diesel prices in Pakistan could see another increase if global crude prices remain elevated.
Brent crude settled at $90.87 per barrel on August 17, 2026, gaining more than $2 as renewed concerns over oil supplies and escalating tensions surrounding the US-Iran conflict and the Strait of Hormuz pushed prices higher.
The latest increase came after US President Donald Trump threatened military action against Oman if it obstructed US efforts in the region. Oman has been involved in efforts to broker arrangements concerning Iran and the strategically important Strait of Hormuz.
The renewed rise in international crude prices could put additional pressure on Pakistan’s domestic fuel prices. Petrol and diesel prices in the country are linked to international petroleum prices under the government’s fuel pricing mechanism.
Pakistan has already implemented a significant increase in fuel prices. On August 17, petrol prices were raised by Rs. 5.77 per litre to Rs. 331.20, while high-speed diesel became Rs. 390.42 per litre after an increase of Rs. 6.47 per litre.
With Brent crude once again trading above the $90 mark, consumers could face another fuel price hike if international prices stay high and the increase is reflected in the next domestic pricing calculation.
The increase in global crude prices does not automatically translate into an equivalent rise in local petrol and diesel prices. Pakistan’s final fuel prices also depend on international petroleum product prices, the exchange rate and other components included in the pricing mechanism.
If global oil prices remain elevated because of continued geopolitical tensions and supply risks, the pressure on Pakistan’s fuel prices is likely to increase.
For consumers, another rise in petrol and diesel prices could add to transportation and household costs, while also increasing pressure on businesses and the broader economy.
The government is therefore expected to closely monitor international oil markets before determining the next adjustment in domestic fuel prices.
