Pakistan is a country that has faced a multitude of challenges in recent years, including political instability, security concerns, and economic troubles. One of the most pressing issues currently facing the country is the recent hike in petrol prices, which has caused considerable unrest among the population. In this article, we will explore the reasons behind this increase, its impact on the people of Pakistan, and the potential solutions to this crisis.
On Wednesday, the Pakistan Democratic Movement (PDM)-led government announced an increase in the price of petrol, taking the rate to a historic Rs272 per litre. This increase of Rs22.20 per litre was driven by the devaluation of the Pakistani rupee against the US dollar, as cited by the Finance Division’s press release. While this may be one of the reasons for the increase, it is not the only one.
The global oil prices have been on the rise since the beginning of the COVID-19 pandemic due to a reduction in oil production by oil-producing countries. The increase in oil prices has affected almost all the countries of the world, and Pakistan is no exception. Pakistan’s dependence on imported oil makes it particularly vulnerable to fluctuations in global oil prices. Moreover, the increase in petrol prices has a ripple effect on the economy, as it leads to an increase in the prices of other goods and services, such as transportation and food.
The increase in petrol prices has a significant impact on the already burdened people of Pakistan. With over 24 million people living below the poverty line, and an unemployment rate of over 4%, the recent petrol price hike will only make things worse for the majority of the population. It will increase the cost of transportation, making it harder for people to access jobs, education, and healthcare. Moreover, the increase in the prices of other essential commodities such as food, clothing, and shelter will make it harder for people to make ends meet.
The recent petrol price hike has also triggered protests across the country. The public has taken to the streets, demanding that the government withdraw the increase and take measures to alleviate their suffering. The opposition parties have also criticized the government’s decision, stating that it will add to the economic woes of the people of Pakistan.
The government, on the other hand, has defended its decision, stating that the price hike is necessary to meet the country’s financial obligations. Pakistan’s economy has been struggling for several years, with a huge trade deficit, rising inflation, and declining foreign reserves. The government argues that the increase in petrol prices will generate revenue that can be used to finance the country’s development projects.
However, the public is not convinced. Many believe that the government should focus on reducing corruption and improving governance, rather than imposing such a heavy burden on the people. The opposition parties have also demanded that the government come up with a more comprehensive plan to deal with the economic crisis.
So, what are the potential solutions to this crisis? The first step is for the government to address the root causes of the economic problems facing the country. This means taking steps to reduce corruption and improve governance, so that the country’s resources can be used more effectively. The government should also focus on increasing revenue through taxation and other means, rather than relying solely on increasing petrol prices.
Moreover, the government should work on developing alternative sources of energy, such as solar and wind power, so that the country is not entirely dependent on imported oil. This will not only reduce the burden on the people but also help to protect the environment.
The government should consider providing subsidies to the most vulnerable sections of the population, such as those living below the poverty line. This will help to ensure that they are not disproportionately affected by the increase in petrol prices and other essential commodities.
* The writer is a freelance journalist, Public Peace Prize Laureate, Gold Medalist, World Record Holder Linguist and Researcher from Mirandeh, Khot Valley, Chitral Pakistan. He can be reached at rachitrali@gmail.com or and tweets @Rachitrali