Top economist Yousuf Nazar, who is also the author of a book on Pakistan’seconomy, said that the POL [petrol, oil and lubricants] prices should beadjusted upward in a staggered or gradual manner. He proposed to adopt acomprehensive approach whereby the unjustified subsidies for bigindustrialists such as for fertilizer, sugar and other sectors to the tuneof Rs1,000 billion per annum should be abolished and diverted towardsfinancing targeted fuel subsidies.
He also proposed that the fixation of the pricing mechanism of POL productsshould be made transparent and a parliamentary committee should be formedfor allowing a public hearing to ascertain the facts and then transparentlyplace the price fixation mechanism.
He suggested that Russian oil should be purchased without violatinginternational sanctions as being done by India. He said that there was amechanism available where a payment system through a third country could beplaced and Pakistan could import cheap oil with the help of such amechanism from Russia.
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He also proposed that the POL import on deferred payment from China andother friendly countries could also be explored under the comprehensivestrategy to combat with the arising challenging situation faced byPakistan’s economy.