The Finance Division has announced a significant increase in fuel prices, citing volatility in global crude oil markets. Effective from July 1, the price of petrol has been increased by Rs8.36 per litre, raising the new rate to Rs266.79, up from the previous Rs258.43 per litre.
Similarly, the price of high-speed diesel (HSD) has been raised by Rs10.39 per litre, now priced at Rs272.98, compared to Rs262.59 earlier.
This marks the second consecutive fortnightly hike. On June 16, 2025, the government had already increased petrol by Rs4.80 and HSD by Rs7.95 per litre.
According to the Finance Division, the adjustment reflects the impact of fluctuating international oil prices, which have seen instability due to geopolitical developments and speculations around OPEC+ production adjustments. Despite a brief dip in crude prices earlier this week, concerns remain over potential output shifts in the coming months.
Notably, both Brent and U.S. crude oil benchmarks registered their largest weekly drops since March 2023, driven by easing tensions in the Middle East and expectations of a production hike by oil-producing nations.
The government is expected to continue reviewing fuel prices fortnightly, based on global market movements and local currency dynamics.
