Pak's oil industry in serious trouble

Due to foreign exchange constraints and prevailing product pricing after current currency depreciation

Pakistan's oil industry is reportedly in serious trouble in arranging crude oil and petroleum products owing to foreign exchange constraints and prevailing product pricing, particularly following the recent currency depreciation and increase in the central banks policy rate, media reports said.

Reporting these challenges to the government, the Oil Companies Advisory Council (OCAC), an association of more than three-dozen major oil marketing companies (OMCs) and refineries has warned of a major disruption to the already fragile supply chain, Dawn reported.

In a communication to the ministers for finance and energy, the Governor of the State Bank of Pakistan (SBP) and the Chairman of the Oil and Gas Regulatory Authority (Ogra), the association has sought an urgent engagement to address the "severe impact of the recent depreciation of the rupee".