Buying a car seems like an extreme luxury exercise for many in Pakistan given the country’s current difficult economic situation. With the price of cars having increased by as much as 149% over the past few years, buying a car in the country is more expensive today than it has ever been here.
As reported by local media in the country, the Pakistan Business Forum (PBF) highlighted how car prices have increased by 149% from 2018 to 2023, mainly blaming the performance of the Pakistani Dollar against the US Dollar. PBF further emphasized that three of the most popular auto brands in the country have tripled their prices in the space of a month and a half. If the Pakistani Rupee depreciates further against the US Dollar, the bullish correction trend could continue.
Pakistan’s auto industry is relatively small when compared to major world markets such as China, USA, India, Japan and others. While imported cars have traditionally been in high demand by the elite, many small car models are manufactured or assembled locally. But all feel the pressure of the price increase. And it’s not just car buyers who feel the heat. Prices for two-wheelers – a popular means of transport for the masses – are also said to have increased. PBF Vice President Ahmad Jawad is said to have compared car prices in neighboring countries, while speaking to Pakistan’s Associated Press, urging manufacturers to reverse the bullish trajectory to bolster sentiment. general buyers. He also called for government intervention, referring to taxes imposed on vehicles.
First published date: February 23, 2023, 07:50 AM IST
