(Web Desk Monitoring) — In a bid to secure a new International Monetary Fund (IMF) bailout package, the federal government has proposed a significant increase in the petroleum levy by Rs20 per liter, as outlined in the upcoming Finance Bill 2024.

According to the local media reports, this move could potentially raise fuel prices by up to Rs20 per liter starting July 1st. The Finance Bill is scheduled for passage in the National Assembly on June 28 and will officially come into effect on July 1. Ahead of this, the government plans to announce the revised petrol prices on June 30.

Under the proposed changes, the maximum petroleum levy rate is set to rise from the current Rs60 to Rs80 per liter for both petrol and high-speed diesel. This levy is a crucial revenue stream for the government, aimed at meeting an ambitious revenue target of Rs12.97 trillion for the Federal Board of Revenue (FBR) in the upcoming fiscal year 2024-25.

Currently, petrol is priced at Rs258.16 per liter and high-speed diesel at Rs267.89 per liter, following a recent reduction earlier this month. However, with the expected increase in the petroleum levy, consumers in Pakistan are likely to face higher costs at the pump starting July 1st.