Pakistani government plans to cut oil prices

By IANS,

Islamabad : Under pressure from various political parties, the embattled Pakistani government could reduce the prices of petroleum products, a media report Tuesday said.


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Prime Minister Yousuf Raza Gilani is soon expected to make an announcement on reducing the petroleum prices, Geo News said.

The government will have to provide a subsidy of Rs.4-5 billion if prices are lowered, the report said, citing a source.

On Sunday, the Muttahida Qaumi Movement (MQM), a key ally of Pakistan’s ruling coalition, withdrew support to the government over the hike in petroleum and other commodity prices.

Gilani, however, said there was no threat to the government and is in talks with at least two prominent opposition parties to shore up his coalition.

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