‘Subsidies helped millions’


The nation has provided fuel sub­sidies to more than 10 million low-income people in recent weeks, Prime Minister Shehbaz Sharif said, pledging continued relief as the US-Iran conflict drives up energy costs and strains household budgets.

The number of beneficiaries is up from the more than nine million reported by officials on Tues­day.

Shehbaz said in a televised address on Friday that the government had allocated 75 billion rupees (RM1.09bil) for fuel discounts to motorcycle riders, rickshaw operators and small-car owners.

His remarks came a day after the International Monetary Fund reached a staff-level agreement with Pakistan that would unlock about US$1.2bil (RM4.9bil), subject to approval by the fund’s executive board.

The deal covers reviews of Pakistan’s US$7bil (RM28.6bil) bailout programme and a US$1.4bil (RM5.7bil) resili­ence and sustainability facility.

Pakistan’s fuel prices have risen by more than 50% since the ­conflict began earlier this year, pushing up transportation, food and other living costs.

The government says the sub­sidies aim to help low-income motorists buy petrol at pre- conflict prices.

Eligible motorists will receive a token by text message and present it at a participating petrol station, where staff verify their eli­gibility before applying the discount.

Motorcyclists, rickshaw drivers and small-car owners are often seen redeeming the tokens at participating stations.

Motorcycle and three-wheeler users qualify for a weekly discount of 500 rupees (RM7.27), capped at four tokens a month, according to the Information Tech­nology and Telecomm­uni­ca­tion Ministry.

Owners of eligible small cars receive a discount of 100 rupees (RM1.45) per litre on up to 10 litres of petrol every 10 days. They can redeem up to three tokens a month, saving as much as 3,000 rupees (RM43.64).

Shehbaz credited Information Technology Minister Shaza Fatima Khawaja and her team with developing the digital system in coordination with the Information Ministry, Petroleum Division and other departments.

He said cooperation between fede­ral and provincial authorities had helped deliver assistance directly and transparently.

He estimated that the program­me was benefiting about 50 million people when recipients’ fami­lies were included. — AP

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