A video showing Pakistan minister Ali Pervaiz Malik acknowledging the country's energy vulnerability amid the surge in global oil prices has gone viral on social media. Ali admits that Pakistan does not have "strategic oil reserves like India", highlighting the stark difference between India and Pakistan regarding the fuel crisis. His remarks came as the oil prices drove up to $126 per barrel amid the ongoing US-Israel-Iran war.
The minister said that Pakistan lacks "strategic oil reserves like India" that have helped New Delhi cushion the impact of soaring crude prices due to the Middle East tensions.
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"We don't have any strategic oil reserves ... we only have commercial reserves. We have crude worth five to seven days. And the refined product with OMCs can only last 20-21 days. We are not like India which has 60-70 days of reserves and can release it with just a single signature," he said.
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“India doesn’t just have 600 Arab dollars worth of reserves, but they also maintain strategic reserves. This helps them cushion this crisis. Besides, they are not part of the IMF programme, and they tried to insulate themselves by reducing taxation as oil prices soared… they had the fiscal space to do that,” Malik noted.
“Now, with diesel prices rising up to 3-4 times, we decided to reduce the levy to zero on diesel and shift the entire burden to petrol while protecting motorcyclists by giving them targeted subsidy. However, had we broken our commitment with the IMF and increased our losses, the consequences would have been worse. We conducted backchannel negotiations with the IMF and convinced them to reduce the levy by 80 rupees per litre,” the minister added.
"Okay...beggars Noted!," another user commented.
The minister said that Pakistan lacks "strategic oil reserves like India" that have helped New Delhi cushion the impact of soaring crude prices due to the Middle East tensions.
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Pak minister on oil reserves
In an interview with Pakistan-based Samaa TV, Ali Pervaiz Malik confessed that Islamabad has only few days of crude reserves, as compared to New Delhi's estimated 60–70 days of combined strategic and commercial stocks."We don't have any strategic oil reserves ... we only have commercial reserves. We have crude worth five to seven days. And the refined product with OMCs can only last 20-21 days. We are not like India which has 60-70 days of reserves and can release it with just a single signature," he said.
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No Petrol reserves even for a single day
The minister further also said that Pakistan does not possess strategic petrol reserves even for a single day. Ali Malik pointed out that India’s relative stability stems not just from its strategic petroleum reserves but also from its strong foreign exchange position.“India doesn’t just have 600 Arab dollars worth of reserves, but they also maintain strategic reserves. This helps them cushion this crisis. Besides, they are not part of the IMF programme, and they tried to insulate themselves by reducing taxation as oil prices soared… they had the fiscal space to do that,” Malik noted.
“Now, with diesel prices rising up to 3-4 times, we decided to reduce the levy to zero on diesel and shift the entire burden to petrol while protecting motorcyclists by giving them targeted subsidy. However, had we broken our commitment with the IMF and increased our losses, the consequences would have been worse. We conducted backchannel negotiations with the IMF and convinced them to reduce the levy by 80 rupees per litre,” the minister added.
Netizens reaction
"Slash your defence budgets because India will not attack you without provocation and stop hating india. See the progress you guys will make," read one comment. "Chalo kahi toh Pakistan ne maana ki India ki strategy sach mein bahut effective hai Pehle hi accept kar lete yeh sab toh aaj yeh din na dekhna padhta inhein Aur Abhi war ke time mein yeh jitna acche se ho sake mediate karwaaa lo," another user quipped."Okay...beggars Noted!," another user commented.
