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Pakistanis face unprecedented fuel price rise of up to 54% as global oil price spikes

ISLAMABAD (AP) 鈥 Pakistanis faced record fuel price increases Friday, as petrol and diesel prices rose by up to 54% driven by the war in the Middle East that has caused global oil prices to surge.

The increase adds pressure to a cash-strapped nation already , as economists warned the hike would push up food prices and living costs.

Pakistan’s Petroleum Minister Pervez Malik said late Thursday that the increase was 鈥渦navoidable.鈥 He said the government was compelled to raise petrol prices by 137 rupees (49 cents) per liter, following a 20% increase last month.

Diesel prices were increased overnight by 184.49 rupees (67 cents) per liter, a rise of about 54.9%.

Malik said the adjustments were 鈥渘ecessary and unavoidable鈥 in line with global market trends, adding that the government plans to subsidize fuel for motorcyclists, though a mechanism has yet to be finalized. Motorcycles overwhelmingly outnumber cars in Pakistan, accounting for nearly 78% of all vehicles on the road, as they are among the most affordable modes of commuting.

On Friday, Interior Minister Mohsin Naqvi said public transport in Islamabad will be free for 30 days from Saturday on the prime minister鈥檚 instructions, and his ministry will cover the fuel costs.

Pakistan in recent weeks has used alternate routes to get oil due to the closure of the .

The unprecedented price increase came after Prime Minister Shehbaz Sharif said regional instability had affected Pakistan鈥檚 fragile economy. He said the government was and encourage dialogue between the parties involved.

, though no dates have been announced for any such meetings in Islamabad.

However, for many citizens, the impact of the ongoing tensions and recent fuel price increases was immediate, with households and commuters bracing for higher transportation and daily living costs.

鈥淚t鈥檚 not just gas,鈥 said Mohammad Zain Alvi, a commuter waiting for a bus in Islamabad. 鈥淟ife was already very difficult for us, and now everything will become more expensive.鈥

Across major cities Friday, fuel stations were unusually quiet and traffic noticeably lighter as many people stayed home, unable or unwilling to bear the higher costs. At some stations, customers stood in silence after hearing the new rates.

鈥淲e have nothing to do with the war,鈥 said Azhar Ali, a junior government employee who uses an old motorcycle to commute from Rawalpindi to Islamabad. 鈥淲hy are we being made to pay for it? This will affect everything 鈥 transport, food, our entire lives.鈥

In the northwestern city of Peshawar, motorcycle rider Sher Khan said he was uncertain how he would continue working after the spike in fuel prices. He delivers food in the capital of Khyber Pakhtunkhwa province.

鈥淚 earn so little for each ride, and now most of it will go into fuel,鈥 he told The Associated Press.

Jabran Sarfraz, a prominent economist in Karachi, said the immediate burden would fall on consumers, warning that higher fuel prices would raise the cost of daily necessities and disproportionately affect lower-income groups. He said the duration of the impact would depend on how quickly global prices ease.

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Khan reported from Peshawar, Pakistan.

Copyright © 2026 The Associated Press. All rights reserved. This material may not be published, broadcast, written or redistributed.

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