Brief

Pakistan expands fuel subsidies to over 10 million low‑income motorists

The programme, funded with 75 billion rupees, aims to keep gasoline affordable for motorcyclists, rickshaw drivers and small‑car owners.

By Felo News Desk · Published Sat, 10 Oct 2026 09:12:22 GMT

Prime Minister Shehbaz Sharif announced on Friday that Pakistan's fuel‑subsidy programme now benefits more than 10 million low‑income people, up from the 9 million reported earlier this week.

What happened

Sharif said the government allocated 75 billion rupees (about $268 million) for discounts to motorcycle riders, rickshaw operators and owners of small cars. The subsidies are delivered through a digital token system: motorcyclists and three‑wheelers receive a weekly 500‑rupee discount, capped at four tokens a month; small‑car owners get 100 rupees per litre on up to 10 litres every ten days, with a limit of three tokens a month.

What the reports add

The Independent noted the rollout follows a staff‑level IMF agreement that could unlock roughly $1.2 billion for Pakistan, and that the subsidies are intended to let beneficiaries buy gasoline at pre‑war prices after fuel costs rose more than 50 % since the U.S.–Iran conflict began.

What was said

Sharif credited Information Technology Minister Shaza Fatima Khawaja and her team for developing the digital system, and said cooperation between federal and provincial authorities helped deliver assistance transparently.

How it came about

The expansion follows earlier criticism from the Jamaat‑e‑Islami party, which threatened to march on Islamabad demanding cuts to gasoline and diesel taxes. Sharif also announced an award for Khawaja and recognition for other officials involved in the programme.

Key facts

• Pakistan's fuel subsidy now covers more than 10 million low‑income motorists. (independent.co.uk)
• The government allocated 75 billion rupees for the subsidies. (independent.co.uk)
• Motorcyclists receive a weekly 500‑rupee discount, capped at four tokens per month. (independent.co.uk)
• Small‑car owners receive a 100‑rupee per litre discount on up to 10 litres every ten days. (independent.co.uk)
• The programme follows an IMF staff‑level agreement that could unlock about $1.2 billion. (independent.co.uk)

Sources

• [1] independent.co.uk — originally reported as “Pakistan's subsidies benefit 10M low-income people as war drives up fuel prices”