The federal government is considering passing the impact of rising oil prices in global markets to consumers, while providing limited targeted subsidies to ease the burden on vulnerable groups, sources said on Saturday.

According to the sources, the government has requested financial support from the provinces for the targeted subsidy scheme, asking them to allocate Rs154 billion for this purpose.

Officials said one option under consideration is to fully pass the oil price increases to consumers.

The alternative plan would provide subsidised fuel for motorcycles, up to 20 litres per month, and for rickshaws, up to 30 litres per month.

The sources stated that implementing the targeted subsidy scheme for six weeks would require approximately Rs300 billion.

A high-level meeting between the president, prime minister, and provincial chief ministers is expected next week to make a final decision on the scheme.

Authorities further stated that the country’s current fuel reserves are sufficient to meet domestic needs until May 10, 2026.