ISLAMABAD: Prime Minister Shehbaz Sharif has directed authorities to immediately issue subsidy payments to shield consumers from the recent hike in fuel prices, his office said on Sunday, as Islamabad grapples with the economic fallout of the ongoing war in the Middle East.
Sharif issued the directives while chairing a meeting of federal ministers and senior officials to review progress on issuing government subsidies on petroleum products.
The government was prompted to begin releasing subsidy payments on Saturday after Pakistan raised fuel prices to historic highs on Thursday, with petrol reaching Rs458.41 [$1.65] per liter and diesel Rs520.35 [$1.87] per liter, before Sharif announced a Rs80 cut in the petrol levy to ease the burden on consumers.
“The prime minister directed that subsidy payments be released immediately, which has already commenced since yesterday,” the Prime Minister’s Office (PMO) said in a statement.
The government announced a range of relief measures this week, including free public transport in Islamabad, fare freezes on Pakistan Railways and targeted subsidies for transporters, farmers and motorbike users across provinces.
Sharif said passenger buses are being provided Rs100,000 [$357] per month in subsidies, while minibuses and vans are being provided Rs40,000 [$143] per month to prevent them from increasing their fares.
Further highlighting the government’s relief measures, he said trucks are being provided Rs70,000 [$250] per month and heavy freight vehicles Rs80,000 [$286] per month in subsidies. Delivery vans are being provided Rs35,000 [$125] per month in subsidies, the PMO added.
The PMO said all provincial governments have provided details of trucks, buses, and freight vehicles to the federal government to facilitate subsidy payments.
“To ensure transparency, these funds are being provided through digital wallets,” Sharif said.
Sharif appreciated the Balochistan government for depositing its share of funds for the national subsidy package.
“It is hoped that other provinces will also deposit their allocated shares for the package at the earliest,” he added.
Participants of the meeting were informed that Pakistan has “sufficient” fuel reserves available to meet its national requirements.
Sharif reiterated that providing relief to economically vulnerable groups remains the government’s top priority.
“We cannot leave the public alone in this difficult time under any circumstances,” the prime minister said.
