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Fuel prices expected to fall by Rs13 per litre from Dec 16

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  • Decrease likely due to drop in global prices of gasoline. 
  • Price of petrol may come to Rs268.24 per litre.
  • Govt to announce final price after adjusting exchange rate.

KARACHI: The fuel prices in Pakistan are expected to fall by around Rs13 per litre in the next fortnightly review due to a substantial drop in global oil prices over the past two weeks, The News reported Friday citing industry officials.

According to the working of the oil sector, the next review scheduled on December 15 (today), showed a downward trend in prices for all petroleum products.

The government reviews the prices of petroleum products every fortnight and adjusts them according to the international market trends and the exchange rate of the rupee.

The price of petrol may come down by Rs13.10 per litre to Rs268.24 per litre in the next review, compared to the existing price of Rs281.34 per litre. The price of HSD is likely to drop by Rs13.66 per litre to Rs276.05 per litre, compared to the current price of Rs289.71 per litre.

The price of kerosene may witness a decrease of Rs8.36 per litre in the next review, to Rs192.80 per litre from the existing price of Rs201.16 per litre, and the price of light diesel oil (LDO) may decrease by Rs10.23 per litre to Rs165.70 per litre from the current price of Rs175.93 per litre.

Industry officials said that the ex-refinery prices of petroleum products had been showing a downward trend because of the fall in global oil prices, which had sharply come down during the last two weeks.

However, they said that the government would announce the final price after adjusting the exchange rate.

“It remains to be seen whether the government passes on the full impact of the falling prices in the global market to domestic consumers, as in the previous review of prices, the government didn’t pass on the full benefit of the decline in the prices of petroleum products to local consumers,” an industry official said.

The interim government kept petrol prices unchanged for the first half of December, despite an Rs10.70 per litre reduction in the average Platts (a price benchmark service for the oil industry) over the exchange rate adjustment, when PSO was allowed a downward rupee exchange rate adjustment of Rs3.21 per litre with effect from December 1-15, 2023.

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The total amount of Pakistan’s liquid foreign reserves is $15.95 billion.

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As of February 14, Pakistan’s total liquid foreign reserves were $15,947.9 million, with the State Bank of Pakistan’s (SBP) holdings being $11,201.5 million.

Official figures for the week ending February 14, 2025, show that the central bank’s liquid foreign exchange reserves rose by $35 million to $11,201.5 million.

Commercial banks maintained net foreign reserves of $4,746.4 million during the period under review, according to the breakdown of foreign reserves.

The nation’s total liquid foreign reserves as of the week ending February 07, 2025, were $15,862.6 million.

Of these, the central bank held $11,166.6 million in foreign reserves, while commercial banks kept $4,696 million in net reserves.

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In January 2025, RDA inflows reach 9.564 billion USD.

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Remittances under the Roshan Digital Account (RDA) increased from US $9.342 billion at the end of 2024 to US $9.564 billion by the end of January 2025.

The most recent data issued by the State Bank of Pakistan (SBP) revealed that remittance inflows in January totaled US$222 million, compared to US$203 million in December and US$186 million in November 2024.

Millions of Non-Resident Pakistanis (NRPs), including those who own a Non-Resident Pakistan Origin Card (POC), desire to engage in banking, payment, and investing activities in Pakistan using these accounts, which offer cutting-edge banking options.

Nearly 778,697 accounts were registered under the scheme by the end of January 2025, according to the data.

By the end of January, foreign-born Pakistanis had contributed US $59 million to Roshan Equity Investment, US $479 million to Naya Pakistan Certificates, and US $799 to Naya Pakistan Islamic Certificates.

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FBR lowers Karachi’s built-up structure property valuation rates

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A year-by-year breakdown of the depreciation value of residential and commercial built-up properties is included in the updated property valuation rates for Karachi that the FBR has announced.

The notification said that built-up structural values on residential property will be gradually reduced.

A residential home’s built-up structure, which is five to ten years old, will lose five percent of its worth.

In a similar vein, constructions between the ages of 10 and 15 will lose 7.5% of their value, while those between the ages of 15 and 25 would lose 10%. Built-up structures that are more than 25 years old will be valued similarly to an open plot.

Furthermore, age will also be used to lower the valuation of built-up properties, such as apartments and flats.

Structures that are five to ten years old will depreciate by ten percent, while those that are ten to twenty years old will depreciate by twenty percent. A 30% depreciation will be applied to properties that are 20 to 30 years old, while a 50% reduction will be applied to those that are above 30 years old.

In terms of commercial built-up properties, buildings that are 10 to 15 years old will lose 5% of their value, while those that are 15 to 25 years old will lose 8%. The value of properties that are more than 25 years old will drop by 10%.

In contrast, there would be a 15% boost in the value of commercial properties in the Defence Housing Authority (DHA) that face any Khayaban.

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