In a move to boost revenue, the federal government of Pakistan has collected an additional Rs18.02 per litre on petrol and Rs17.01 per litre on high-speed diesel (HSD) since March 16, 2025. These increases in the petroleum levy (PL) are projected to bring in Rs90 billion over the remaining three and a half months of the current fiscal year. With this adjustment, the PL now stands at Rs78.02/litre for petrol and Rs77.01/litre for HSD. Notably, the levy—previously capped at Rs60/litre and later Rs70/litre—is now uncapped following a presidential ordinance, giving the government flexibility for future increases. The annual revenue target from the levy is now set at Rs300 billion. While ex-refinery prices have slightly declined—Rs2 per litre reduction for both petrol and diesel—the levy rate remains unchanged from the previous fortnight. At the same time, the Import Parity Price (IFEM) has also been reduced slightly: petrol by 59 paisa and HSD by 26 paisa per litre. Both fuels continue to be exempt from general sales tax (GST), but the rising levy suggests growing pressure on consumers and signals the government’s reliance on indirect taxation to meet fiscal goals.