Oil prices

International oil prices have now fallen to below $60/barrel. The product prices in Pakistan are revised every month based on crude prices prevailing in the international market. The declining trend in global oil prices and the forecast that the market will remain soft going forward for at least a year or so is a great relief. As per practice, Ogra should recommend decrease in the existing notified prices of different petroleum products in line with the international market.It is proposed that the status quo be maintained in the prevailing petroleum product prices in the country for a year. This measure will fetch additional revenue collection of Rs800-900 billion per year to the national exchequer. It can wipe out the perennial budget deficit syndrome which is one of the reasons for the weaker rupee. I am sure that people will be ready to embrace the higher cost in national interest.Shoaib ArifKarachi

from The News International - Newspost http://bit.ly/2SdkV2F