Pakistan’s petrol prices have fallen nearly 11 percent since the beginning of November after authorities announced a fresh reduction of Rs8 per liter on Tuesday, as global oil markets weakened amid growing expectations of an easing of US-Iran hostilities following the American midterm elections.
The latest cut, effective Wednesday, brings petrol prices to Rs338 per liter, down Rs39.91 from October 31, while high-speed diesel has fallen by Rs31.96, or nearly 8 percent, to Rs371 per liter over the same period. The reductions offer some relief to consumers and businesses in Pakistan, which relies heavily on imported fuel.
“Based on the petroleum products pricing mechanism approved by the Federal Government, the revised ex-depot prices of petroleum products (Rs./liter), effective November 11, 2026, are as follows,” the Oil and Gas Regulatory Authority (OGRA) said in a statement, listing reductions of Rs8 for petrol and Rs7 for diesel.
The latest adjustment follows a series of price cuts this month, including a reduction on November 7 that brought petrol to Rs346 per liter and diesel to Rs378 per liter.
International oil prices have declined sharply in recent days as investors reassessed the prospects of further US military action against Iran following President Donald Trump’s setback in the November 3 midterm elections.
The Democratic Party secured majorities in both chambers of Congress, with voters expressing frustration over rising living costs, including higher energy prices linked to the conflict with Iran.
Brent crude settled 1.2 percent lower at $91.49 a barrel on Tuesday, while US West Texas Intermediate fell 0.9 percent to $86.04, with both benchmarks reaching two-month lows.
The latest decline followed comments by US Secretary of State Marco Rubio that Washington’s sanctions and naval blockade against Iran were working, reducing the need for major military operations. Trump also indicated that he would postpone further strikes following appeals from regional countries.
Global oil prices had already begun retreating before the elections amid signs of possible diplomatic progress, but the results strengthened expectations that Washington could move toward de-escalation.
Pakistan has repeatedly adjusted its domestic petroleum pricing mechanism since the outbreak of US-Iran hostilities in February, which disrupted energy supplies and drove up international oil prices.
Before the conflict, the government generally revised petroleum prices every fortnight. It subsequently shifted to weekly adjustments and then to daily revisions to respond more quickly to volatile international markets.
Khurram Schehzad, an adviser to Pakistan’s finance minister, told Arab News last week that declining international oil prices would gradually translate into lower domestic fuel costs.
The latest reductions could ease transportation and agricultural costs in Pakistan, where diesel is widely used in freight transport, farming machinery and irrigation, although the extent of relief for consumers will depend on whether lower operating costs are passed on.
Pakistan remains vulnerable to fluctuations in global energy prices because of its dependence on imported petroleum, with the government also seeking to expand strategic fuel reserves to protect against future supply disruptions.
Meanwhile, Jamaat-e-Islami, a major political party in Pakistan, is demanding the abolition of the levy tax on petroleum products; the government has also promised to remove this tax. According to Liaquat Baloch, the final draft of the agreement is currently being prepared.
