- June 23, 2026
- Posted by: Tresmark
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The federal government has decided to discontinue the fuel subsidy scheme for motorcyclists, small farmers, and public and goods transport operators, citing a significant decline in international oil prices and the relief already provided through reduced petroleum rates.
The decision was taken during the seventh meeting of the National Steering Committee on Fuel Subsidy, chaired by Deputy Prime Minister Ishaq Dar on Monday. According to an official statement, the committee reviewed the implementation of the subsidy programme across the provinces, as well as in Gilgit-Baltistan and Azad Jammu and Kashmir. Members noted that global fuel prices had dropped considerably in recent months and that the government had already passed on the benefit to consumers through substantial reductions in petroleum product prices.
Following the review, the committee agreed to withdraw the subsidy scheme, a move that received the approval of Prime Minister Shehbaz Sharif. Announcing the decision on his X account, Dar said the government had abolished the fuel subsidy for motorcyclists, small farmers, and public and goods transport operators after implementing significant cuts in petroleum prices.
The deputy prime minister also commended the committee for its efforts and highlighted the importance of continued coordination among the federation, provinces, Gilgit-Baltistan, and AJK in implementing public relief measures.
The meeting was attended by Special Assistant to the Prime Minister Tariq Bajwa, the federal secretaries of Petroleum and Information Technology, the Governor of the State Bank of Pakistan, and senior representatives from all the provinces,
GB, and AJK. The withdrawal of the subsidy marks a shift in the government’s relief strategy, with officials maintaining that lower fuel prices now provide adequate support to consumers and transport sectors without the need for an additional targeted subsidy programme.
Source: The International News Pakistan
