Prime Minister Shehbaz Sharif on Friday announced an Rs80 per litre cut in the petroleum levy, bringing the petrol price down to Rs378 per litre, with the new rate taking effect from midnight.

The reduction comes a day after the government raised petrol and high-speed diesel (HSD) prices by 43 per cent and 55 per cent, respectively, pushing petrol to Rs458 per litre before the latest relief.

In a televised address to the nation, the prime minister said the revised price would remain in place for one month and apply nationwide.

He said the surge in global oil prices, driven by the ongoing war in the Middle East, had severely impacted economies worldwide, including Pakistan.

The premier said the government had tried to shield citizens from the inflationary shock, adding that over the past three weeks it had not passed on the full impact of international price increases to consumers.

According to the prime minister, the government absorbed the burden by spending Rs129 billion from the national exchequer to stabilise petroleum prices.

He also announced targeted relief measures for key sectors. Goods transport vehicles will receive a subsidy of Rs100 per litre, while small trucks will get Rs70,000 per month and large trucks Rs80,000 per month.

Public transport buses will be provided a monthly subsidy of Rs100,000 to prevent fare hikes.

For the agriculture sector, the government will provide Rs1,500 per acre to small farmers to ease input costs.

The prime minister further announced that fares for economy-class travel on Pakistan Railways would not be increased.

He assured that the federal and provincial governments would continue coordinated efforts to ease public hardship during what he described as a “critical time”.