Petrol prices likely to drop again from January 16

Petrol prices likely to drop again from January 16

January, 14 2026

(Web Desk): Petrol prices in Pakistan are expected to fall from January 16, with authorities projecting cuts of up to Rs4.59 per litre, offering relief to consumers.

Pakistani consumers may receive major relief in fuel prices as authorities expect a fourth consecutive reduction in petrol prices starting January 16, 2026, according to official sources.

Officials revealed that the prices of petroleum products are likely to be reduced following a downward trend in global oil markets. The expected cut comes after a significant price reduction at the start of the new year, further easing pressure on inflation-hit households.

Expected Reduction in Petrol and Diesel Prices

Sources indicated that petrol prices may drop by up to Rs4.59 per litre, while high-speed diesel (HSD) is expected to become cheaper by Rs2.70 per litre. Additionally, other fuel products may also see price cuts:

Kerosene oil: Likely reduction of Rs1.82 per litre
Light diesel oil: Expected to drop by Rs2.08 per litre

The initial pricing calculations have been finalized, and the Oil and Gas Regulatory Authority (OGRA) is set to forward its working to the Petroleum Division on January 15.

Also Read: Petrol and diesel costs decline in Pakistan as crude oil rates fall

Final Approval and Implementation

After approval from the Prime Minister, the Petroleum Division will officially announce the new fuel prices. The revised prices will remain effective for 15 days, in line with the government’s standard pricing mechanism.

Background: Previous Fuel Price Cut

It is worth noting that on January 1, 2026, the government had already reduced petrol prices by Rs10.28 per litre and high-speed diesel by Rs8.57 per litre, marking one of the biggest fuel price reliefs in recent months.

Why Are Fuel Prices Falling?

According to officials, the anticipated price reduction is driven by multiple factors, including:

Declining international crude oil prices
Reduced customs duties
Adjustments in the currency exchange rate

In the global market, petrol prices fell by $2.74 per barrel, reaching $66.54 per barrel on January 11, contributing to the expected domestic price relief.

The upcoming price cut could help lower transportation costs and provide some relief to consumers amid ongoing economic challenges.