UBG Warns Fuel Price Surge Could Strain Pakistan’s Economy

KARACHI: The United Business Group (UBG) has voiced concerns over the recent increase in fuel prices, warning of potential adverse effects on Pakistan’s economy. Petrol prices have surged by Rs. 8.36 per liter, while diesel has seen an increase of Rs. 10.30 per liter.

In a joint statement, UBG leaders Zubair Tufail, Khalid Tawab, Hanif Gohar, and Syed Mazher Ali Nasir highlighted the potential for increased operational costs in various sectors. This, they argue, could exacerbate inflation and affect the cost of doing business, particularly in transportation and logistics.

The UBG cautioned that the rise in fuel prices could pose significant challenges to small and medium enterprises (SMEs) and reduce the competitiveness of local industries. They also expressed concern over the potential burden on the general public amid an already pressured economic recovery.

Zubair Tufail, President of UBG, called on the government to revisit the pricing strategy and consider alternative measures, such as reducing indirect taxes or rationalizing import costs. These steps, he suggested, could prevent shifting the entire burden onto businesses and consumers.

The UBG leaders stressed the need for policy stability and cost management to aid trade, investment, and industrial productivity during this economically challenging time.