KARACHI: Pakistan’s fuel supplies remain stable and there is no need for panic buying, the finance minister said on Monday, urging the public to avoid stockpiling petroleum products.
The development comes as the conflict between the US, Israel and Iran continues to disrupt global oil supply, with fuel prices surging globally. While Pakistan has announced austerity measures to curb fuel consumption, it has set up a cabinet committee on petrol prices to daily monitor the situation.
On Monday, the finance ministry said based on current cargo planning and supply arrangements, Pakistan has fuel coverage up to mid-April and efforts are underway to extend coverage further toward the end of April.
“The current stock position and supply outlook remain stable and that, based on the reports presented, there is no basis for panic buying or unnecessary stockpiling of fuel,” Finance Minister Muhammad Aurangzeb said.
The statement came hours after Prime Minister Shehbaz Sharif directed petroleum distribution companies to sell fuel at government-appointed rates, his office said on Monday, as Islamabad attempts to curb hoarding while the Middle East conflict intensifies.
Pakistan announced austerity measures earlier this month, including the closure of schools and shifting classes of higher education institutions online, to curb fuel consumption. The government also announced a four-day working week and announced cuts in its expenditures.
“Economic stability and public relief remain the government’s top priorities,” his office quoted Sharif as saying, adding the prime minister also issued instructions to conduct third-party audits to ensure the ongoing austerity and conservation measures are being implemented.
Pakistan fears prolonged disruption to the Strait of Hormuz, where 20 percent of the world’s oil and gas supplies pass, could threaten its stock of energy supplies, raise shipping costs and trigger a balance of payments crisis for the economy. Islamabad has called on all parties to de-escalate tensions in the Middle East and resolve disputes through dialogue and diplomacy.
