The federal government on Friday reduced the prices of petrol and high-speed diesel (HSD) by Rs22 per litre, saying the move was aimed at providing relief to the public.

Following the reduction, the price of petrol was set at Rs381.78 per litre, down from Rs403.78. Similarly, the price of HSD was reduced to Rs380.78 per litre from Rs402.78.

Read: Govt cuts petrol price by Rs6, diesel by Rs6.80

According to a statement issued by the Prime Minister’s Office on Friday, Prime Minister Shehbaz Sharif said he had promised the nation that relief would be extended to the people whenever financial space became available.

“That promise has been fulfilled exactly as committed,” the prime minister said, describing the reduction as an Eid gift for the people, as the announcement came on the third day of Eid.

The statement said the government had decided to reduce the prices of both petrol and diesel by Rs22 per litre.

“Providing relief to the people is among my top priorities,” the premier said.

The statement added that the government had also reduced fuel prices last week as part of its public relief measures.

The announcement came amid a continued decline in global oil prices on hopes of a possible ceasefire between the United States and Iran. Oil markets remained volatile this week as investors assessed the prospects of a breakthrough between Washington and Tehran that could help restore normal shipping through the Strait of Hormuz, a key global oil transit route.

This marks the third consecutive reduction in fuel prices in as many weeks. Last week, the government reduced the prices of petrol and diesel by up to Rs6.80 per litre, after cutting the rates of both fuels by Rs5 per litre earlier this month.

The US and Israel launched an attack on Iran in February, after which Tehran retaliated with strikes and closed the Strait of Hormuz, disrupting global oil supplies and triggering a sharp rise in international oil prices.

As petroleum prices surged, prompting the government to raise fuel prices by more than 50%.

Amid rising prices, the government increased petroleum product rates twice during the first week of March, noting that the hikes exceeded the increase in international market prices. However, the sharpest increase was witnessed in April this year.

Last month, the government raised the petrol price by Rs137 per litre, taking it to a record Rs458.4 per litre. A few days later, however, the prime minister, in a televised address, announced an Rs80 per litre reduction in the petroleum levy on petrol, bringing its price down to Rs378 per litre. Earlier this month, the government again increased the prices of both petrol and high-speed diesel by Rs26.77 per litre despite no corresponding increase in international rates, after imposing an additional levy of nearly Rs27 per litre on fuel. A week later, petroleum product prices were increased once again, pushing rates close to Rs400 per litre. Subsequently, the Petroleum Division issued another notification earlier this month, raising prices by nearly Rs15 per litre.