Upcoming Petrol Price 1st August 2025

The current price of petrol in Pakistan is at Rs 272.15 per litre after the mid-July revision which increased prices by Rs 5.3 per litre due to increased  margins and levies from the government Market analysis OGRA and Government source indicate that petrol prices are again  expected to increase by the Rs 3.26 per litre from 1 August 2025, bringing the Upcoming petrol price  1st August 2025 is expected to Rs 275.41 per litre. the increase in the petrol price is a part of government policy of taxation which is announced in the federal budget FY2025-26 in Pakistan.

Read More : 16 July 2025 Petrol price 

Carbon Levy on Petrol Price

It is expected that the government will make a decision about the petrol hike again due to the budget strategy which will impose carbon levy on the fuel prices  which impact on transportation and on the other sectors and carbon levy will be implemented if price of petrol increase and the new carbon levy will be 2.5 per litre  which will rising to Rupees 5 by the FY2026-27 to fulfil the fiscal obligations.

Factors of Increasing Upcoming Petrol Price 

Taxes :

Government increasing prices to  indirect taxes and levies (like PDL and carbon levy) to meet  the country circumstances and imposing the taxes on the prices 

International Oil prices :

Prices of fuel change when the international oil market prices increase or decrease and the crude oil remains volatile $85-90 per barrel which is changed due to geopolitical tensions and supply cuts.

Transportation Cost increase :

If petrol price increased than it is expected that Carbon Levy increase than it will affect to the raising the budget and transportation costs if the prices changes it will implications for the daily life of a consumer in Pakistan.

Affect On Economy

As the Petrol Prices increase and it impact the overall economy of country The increase in the petroleum prices also affect consumer usage or spending and significantly impact economic indicators like inflation, employment and it impact on the inflation and The price of petrol and diesel has a direct impact on inflation. This is due the reason because consumer demand for it increases, as does the cost of transportation. The increase in the cost of petroleum reduces household purchasing power and the increase in petrol and diesel impact on various factors .

Affect Consumer Spending

if the petrol and diesel price increase it will affect consumer spending and it can put pressure on the budget of peoples and It can put strain on drivers budgets also, and they may ultimately have to limit their budgets all this affect due to the increase in Petroleum products.

Increase in Business Costs

Petroleum products affect the business system also as businesses consume fuel as a source of transportation and other aspects as if the number of companies that need products increases the cost of products can increase due to this reason and this will result in the products may be passed on at higher costs to consumers.

Affect on Trade Balance

If the fuel prices increase or decrease it will impact the country’s trade system and the trade balance can affect a country’s fuel imports. If the increase is High  then the fuel prices can impact the import bill and increase the country’s external debt. The increase in petroleum prices can also  influence currency exchange rates. if prices decrease then it will have less impact on the country trade and transportation.

Conclusion 

It is expected that petrol may become costlier by approximately Rs+3.41 per litre. if the price revision implemented it will take effect from 1st August 2025 and remain in place for the next 15 days. If petrol price increase it will affect on transportation cost and increase the taxes .

FAQ’s

What is the current petrol price ?

The Current petrol price in Pakistan is Rupees 272.15 per litre.

What is the Upcoming Petrol price 1st August 2025?

It is expected that the Upcoming petrol price  1st August 2025 is Rupees 275.41 per litre with an increase of Rupees +3.41 per litre.

What is Carbon Levy on Petrol?

Carbon levy is a tax which is imposed on the Petrol and other fuels like Diesel and furnace Oil which is used to reduce the carbon emission  and help to promote the climate – friendly alternatives .

How much Carbon levy on Petrol and Diesel in Pakistan?

Carbon levy on petrol is Rupees 2.5 per litre and diesel is Rupees 2.5 per litre with an increase of Rupees 5 per litre by following Fiscal year.