PM urges united relief push as oil crisis strains Pakistan

Prime Minister Shehbaz Sharif called for a coordinated response between the federal government and the provinces as Pakistan grapples with the economic fallout of the global oil shock linked to the US-Israeli war on Iran. Speaking at a high-level meeting in Islamabad, he said both tiers of government would have to reset spending priorities to shield vulnerable households.

The premier said the country, which had recently regained a measure of macroeconomic stability, was now confronting renewed pressure from rising energy costs and broader regional disruption. He urged provinces to scale back development spending where necessary and redirect resources toward public transport, essential goods and agriculture-related support.

Shehbaz also pointed to emergency steps taken by the government to manage the immediate impact. He said Pakistani-flagged vessels waiting to pass through the Strait of Hormuz had been facilitated through diplomatic efforts, while broader arrangements were being made to help more ships transit the route in the coming days.

The prime minister said the centre had already absorbed a major fiscal burden through subsidy and austerity measures, including cuts in the Public Sector Development Programme. He presented the approach as a short-term stabilisation effort designed to contain the pressure on households while the government works through the wider consequences of the regional conflict.