Pakistan cuts official fuel use 50%, restricts government travel amid Mideast oil shock
· World
Pakistan ordered a 50 percent reduction in fuel quotas for state-owned and government vehicles on Thursday in response to escalating geopolitical tensions across the Middle East. The austerity directive will remain in place for an initial duration of three months as authorities attempt to control national fuel consumption and preserve foreign exchange reserves.
Under the newly announced emergency guidelines, strict limitations have also been imposed on official domestic and foreign travel for civil servants and government delegates. Federal and provincial departments have been instructed to conduct mandatory meetings via virtual platforms whenever feasible and halt non-essential budgetary expenditures.
As an energy-import-dependent nation, Pakistan faces acute vulnerabilities to global crude oil price spikes and supply disruptions in the Arabian Sea and Persian Gulf corridors. Government officials noted that without strict containment of national energy bills, rising international oil prices could quickly exert severe inflationary pressure on the domestic economy.
The economic coordination committee is expected to review the impact of the fuel curbs bi-weekly, with potential further rationing measures being considered should the conflict in the Middle East cause protracted disruptions to commercial tanker routes.
Source: Ada Derana