KARACHI – Following a day of hectic negotiations in Karachi between the Pakistan People’s Party (PPP) and the Muttahida Qaumi Movement (MQM), the government announced a 50 percent reduction in the recent increase in prices of petroleum products late on Thursday night.
“The increase in prices of petroleum products now stands at five rupees, and a notification would be issued on Friday after formal approval from Prime Minister Yousaf Raza Gilani,” Federal Finance Minister Dr Hafeez Shaikh told a press conference at the Governor’s House.
Flanked by Sindh Governor Ishratul Ebad, MQM Rabita Committee Convenor Farooq Sattar and Interior Minister Rehman Malik, Dr Shaikh argued that POL prices had surged by 26 percent in the international level, but Pakistan had increased them merely by 10 percent.
“There is a need for us to educate the people why prices need to be increased,” he said. MQM’s Dr Farooq Sattar urged the government to focus on sectors that had long been neglected and on widening the tax net. He thanked President Zardari and MQM chief Altaf Hussain for the reduction in price hike, jokingly adding that at times, Rehman Malik and he were negotiating with Dr Shaikh.
The late night meeting at the Governor’s House was the last in the series of deliberations held through the day. Discussions were held throughout Thursday between the two parties, with President Zardari and Dr Shaikh holding separate meetings with Dr Ishratul Ebad and the MQM leadership.
President Zardari first met with Ebad at the Bilawal House, which was then followed by Shaikh’s meeting with the MQM’s leadership at the Governor’s House.
