The government is all set to increase the prices of the petroleum products from June 16 and in this regard Ogra will move a summary to the Petroleum Division on Tuesday (today), reported 24NewsHD TV channel.

Prime Minister Shehbaz Sharif will take the final decision about the increase in prices of the POL products.

Sources said that the federal government has been providing Rs9.32 subsidy on petrol and Rs8.8 on light diesel since June 1st. 

From June 1, all subsidies were abolished on kerosene oil. 

Right now, the sales tax and petroleum levy on POL products is zero. 

The sources further claimed that the IMF has demanded the government to abolish all subsidies on POL products. 

And the government has so far not taken back all the subsidies on POL products.

On May 25, the government increased the petroleum products rates by Rs30 per litre, or up to one-fourth of their existing prices, paving the way for reaching a staff-level agreement with the International Monetary Fund by June 12.

The unprecedented decision will help defuse the landmines laid by the government of former prime minister Imran Khan on the one hand, and will save the country from looming default on the other.

Reporter Awais Kiyani