The revenue from petroleum levy has been estimated at Rs1,311 billion for the next fiscal year
Petrol Prices Set to Soar After Budget as Govt Plans Rs194 Billion Levy Hike. The government of Pakistan is planning to impose an additional burden of Rs194 billion on the public by increasing petroleum levy collections for the next fiscal year.
The Pakistani government has assured the International Monetary Fund (IMF) that it will increase its revenue from petroleum levy in the fiscal year 2025-26, sources familiar with the development claimed. The move is part of ongoing commitments to meet the IMF’s fiscal targets.
The revenue from petroleum levy has been estimated at Rs1,311 billion for the next fiscal year – significantly higher than the target of Rs1,117 billion set for the current fiscal year 2024-25.
Between July 2024 and March 2025 alone, the government has already collected Rs833.85 billion under petroleum levy, indicating a rapid increase in petroleum-related revenues.
A recent IMF report highlights the growing reliance on petroleum levy collections. In the fiscal year 2023-24, the South Asian nation collected Rs1,019 billion, up from Rs580 billion in 2022-23, reflecting a sharp upward trend over the past two years.
As of May 2025, the Pakistani government was collecting a levy of Rs78.02 per liter on petrol and Rs77.01 per liter on high-speed diesel, contributing significantly to fuel prices and overall inflationary pressures on consumers.
