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Pakistan launches fuel subsidy program for two-wheelers and small cars amid rising oil costs

The Pakistani government introduced a nationwide relief scheme that gives weekly cash subsidies to owners of motorcycles, rickshaws, Qingqi scooters and small-engine cars to offset higher fuel prices.

Facing a surge in global oil prices, Pakistan’s government rolled out a fuel assistance program targeting low-income commuters. Prime Minister Shehbaz Sharif unveiled the Prime Minister’s Special Relief Scheme, granting motorcycle, rickshaw and Qingqi owners a weekly Rs 500 subsidy delivered through four tokens each month, irrespective of the amount of petrol bought. Small cars with engines up to 800 cc receive a Rs 100 discount per litre on ten-litre purchases every ten days, with three tokens available monthly.

The scheme now covers vehicles up to 20 years old and those registered from Jan. 1 2006, following public feedback. Registration is free via the 9771 SMS platform, which cross-checks national identity, SIM and vehicle records to prevent duplicate claims. The Prime Minister’s Office says the initiative was fast-tracked despite limited fiscal space to protect vulnerable households, and further tweaks may follow based on beneficiary input.

Why it matters

It aims to shield low-income Pakistanis from soaring fuel costs that threaten household budgets.

In this story

fuel subsidyoil price increasemotorcycle ownersrickshaw driverssmall-car discountgovernment relief9771 SMS service
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