“In respect of the national political leadership and this house and the whole nation, I restore the old petroleum prices,” Yousaf Raza Gilani told the lower house of Parliament. “There was a consensus among the entire political leadership and parliamentary leaders that petroleum prices of Dec. 31 should be restored.”
The government raised petrol prices by seven rupees (eight cents) a liter on Jan. 1. The next day, the junior coalition partner of Gilani's Pakistan People's Party walked out of government, publicly stating the hike in petrol prices as one of their reasons for quitting.
The rollback was one of several demands made by the Former Prime Minister Nawaz Sharif's Pakistan Muslim League (PML-N).
Sharif is yet to announce his further move. Sharif had given three days’ time to the government on Monday. The deadline could determine the government’s fate since his party is the second largest in Parliament and would be key in pushing through a no-trust vote against the prime minister.
Such a scenario became possible when the second largest member of the governing coalition, the Muttahida Qaumi Movement (MQM), joined the opposition on Sunday, depriving the government of its parliamentary majority. It said it was partly motivated by anger over recent fuel price hikes.
Sharif said the government must reverse the price hikes, cut government expenditures by 30 percent and implement a series of court verdicts against ruling party officials for corruption. He said they must accept the demands within 72 hours and show progress within 45 days. “If the government says no, if the prime minister says no, then we will ask the opposition parties to come forward and we will give them our full support,” said Sharif in Islamabad after a meeting to determine the party’s stance.
— With input from agencies
