President Asif Ali Zardari directed the use of all possible measures to reduce the impact of inflation on the populace in a meeting with Prime Minister Shehbaz Sharif.
A press release from the presidency said the two held a meeting at the Aiwan-e-Sadr with Deputy PM and Foreign Minister Ishaq Dar, National Assembly Speaker Ayaz Sadiq, Interior Minister Mohsin Naqvi, Law Minister Azam Nazeer Tarar and others also present.
“The president directed possible measures to reduce inflationary pressures, ensure availability of essential goods and provide relief to the common man,” the statement said.
The president said that despite the difficult geographical and regional situation, tensions in the Middle East and disruption of the supply chain, maximum relief should be provided to the people.
The statement said the overall situation of the country, matters related to Afghanistan and the changing situation in the region were also discussed in the meeting.
The meeting’s participants further paid tribute to the martyrs of last year’s May conflict against India and the professional capabilities of the armed forces while reiterating “unwavering commitment to national defence”.
The directives came in the wake of the government on Friday raising the prices of both petrol and high-speed diesel (HSD) by Rs15 amid fluctuation in global oil prices due to closure of the Strait of Hormuz. It was the second hike in fuel prices in May.
The sharp increase in petroleum prices has triggered a fresh wave of economic anxiety across Pakistan, with transporters raising fares, businesses warning of mounting operational costs, and ordinary citizens bracing for another inflationary shock in an economy already under severe strain.
HSD is widely used in the transport and agriculture sectors. The sowing season for crops is underway; therefore, the increase in its prices will negatively impact the agriculture sector, where input costs are already high.
The price of fertiliser has already increased due to a rise in transportation costs. Petrol is used in motorcycles and cars. However, the prime minister had earlier announced a continuation of a Rs100 per litre subsidy for motorists.
During the ongoing Gulf war, Iran and the United States have maintained a blockade of the Strait of Hormuz, which supplies 20% of global oil. The entire world is facing a crisis-like situation as oil prices have jumped due to a shortage of supplies. Middle East countries like Saudi Arabia, UAE and Kuwait also face issues of supplies as their oil facilities have been hit. Iran is also a key oil supplier to China.