Prime Minister Shehbaz Sharif has unveiled a significant reduction in electricity tariffs, offering much-needed relief to both households and industries across Pakistan. The new rates slash Rs7.41 per unit for domestic consumers and Rs7.59 per unit for industrial users, marking a strategic step towards easing the financial burden on the population and boosting economic productivity.
The decision comes on the heels of successful power sector reforms and Pakistan’s recent $7 billion bailout deal with the International Monetary Fund (IMF). According to the Prime Minister, convincing the IMF to back these tariff cuts—despite the country’s ongoing fiscal tightening—was a difficult but necessary negotiation.
Sharif emphasized that the government will also reinvest savings from falling global oil prices into the energy sector to further enhance efficiency and affordability. These power sector adjustments are part of a broader economic stabilization plan aimed at encouraging industrial growth and providing economic relief to citizens.
This announcement follows a remarkable drop in inflation—from a peak of 38.5% in May 2023 to below 10% in 2025—reflecting signs of recovery and improved fiscal management.
As Pakistan navigates its way out of economic challenges, these energy reforms signal a renewed commitment to sustainable development and public welfare.
