LAHORE: The business community has demanded the government to cut the oil prices in the country according the reduced petroleum prices in the international market.
All Pakistan Business Forum (APBF) President Ibrahim Qureshi, in a statement said that the slight cut in petroleum prices is not a reflection of the huge drop of more than 50% oil price in the international market.
He said that the government should also announce cut in power tariff in line with reduction in oil prices as around 70 per cent of electricity is generated through oil. He said major commodities and services are relatively more sensitive to changes in oil prices. It has been the practice that the government focuses on increasing the GST on POL products to maintain its revenue collection while the consumers are deprived of this benefit.
Ibrahim Qureshi said that for our economic managers this is a great opportunity as lower oil bill will give them a much-needed sigh of relief as falling oil prices ease pressure on balance of payment position. On an average, annual price fall of 10 dollars reduces oil bill by nearly $1.35 billion or by $110 million.
The APBF President demanded of the government that price of crude oil in the international market has come down to around $45 per barrel but policy makers are reluctant to pass on it to the lower level, which is a sheer injustice.