The federal government is expected to announce a reduction in petrol prices for the first fuel price review of the 2026-27 fiscal year, while the price of high-speed diesel (HSD) is likely to remain unchanged, according to informed sources.

Officials familiar with the matter said the Petroleum Division is expected to issue an official notification shortly after government approval. The revised fuel prices will come into effect immediately and are expected to remain valid for the next seven days under the current weekly pricing mechanism.

The expected reduction follows the government's routine review of petroleum prices, which takes into account fluctuations in international crude oil markets, the exchange rate, taxes and domestic fiscal policies.

During the previous review, the government left both petrol and diesel prices unchanged despite volatility in global oil markets. At the same time, it introduced a climate support levy of Rs5 per litre on both fuels under the Finance Act 2026, aiming to generate additional revenue for climate-related initiatives.

Currently, petrol is priced at Rs299 per litre, while the rate of high-speed diesel stands at Rs311 per litre. Officials say the upcoming adjustment reflects changes in global oil prices and the government's efforts to provide relief to consumers where possible.

Energy analysts note that international crude oil prices have remained relatively stable in recent days, creating room for a modest reduction in petrol prices without significantly affecting government revenues.

Fuel price revisions have a direct impact on transportation costs, inflation and the prices of essential goods across Pakistan. Consumers and businesses closely monitor these announcements as they influence household budgets and commercial operating expenses.

The government has reiterated that petroleum prices will continue to be reviewed regularly to ensure they reflect global market trends while maintaining economic stability and meeting fiscal requirements.