ISLAMABAD: The All Pakistan Business Forum (APBF) has criticised the government for increasing fuel prices and termed it a bad news for the country’s economy, as two weeks after the rate hike, the government on March 1 increased fuel prices once again. Hence, this is fourth consecutive hike in petroleum prices leading to increasing cost of production ultimately.
APBF President Ibrahim Qureshi said though the prices of oil in global market is going up yet the authorities could have kept the rates stable by reducing tax ratio, which is highest in the region.
“In the past, the government did not pass on the full benefit of declining oil prices to the public by imposing heavy taxes. It is the time to relax the duties and absorb the burden of soaring petroleum prices in international market by keeping the prices stable. In the past, the government used to cut POL rates after a period of one month when prices were declining in global market but at the time of rising oil prices the government is quickly responding and shifting the burden of oil price increase within 15 days.
The price of petrol was increased from Rs 71.29 to Rs 73, whereas high speed diesel is now costing Rs 82 after an increase of Rs 1.52 per litre.
Ibrahim Qureshi, terming it a bad news for the country’s economy which was already facing a number of challenges, said that the increase would put an extra burden on consumers. He said the rates for kerosene oil and light diesel oil were also increased from Rs 43.25 to Rs 44, and light diesel oil from Rs 43.34 to Rs 44, respectively.
He said that the APBF had always been calling on authorities concerned to take measures for promotion of alternate fuels, as trade deficit was fast widening due to heavy imports under the head of petroleum products. He said that hike in POL prices would deal another blow to ailing industry.
However, the APBF president appreciated Prime Minister Nawaz Sharif for announcing Rs 180 billion package for revival of export-oriented industries, which he said should be implemented without any further delay along with stability in fuel prices as well as all energy inputs.
The APBF also showed concern over decline in exports and an increase in trade deficit mainly due to increasing cost of doing business.
