CPI inflation clocks in at 7.2pc for October
Pakistan’s annual consumer price index inflation rate was 7.2 per cent in October, data from the Pakistan Bureau of Statistics (PBS) showed on Friday, up from 6.9pc in September month.
The reading reinforced months of easing inflation — which hit a historic high of 38pc last year and was at 26.8pc October 2023 — ahead of a meeting of the State Bank of Pakistan (SBP)’s Monetary Policy Committee meeting next week to review the policy rate, which stands at 17.5pc.
The SBP had held off on aggressive monetary easing to achieve the goal of bringing inflation down to the medium-term target of 5 to 7pc in September 2025 and ensuring macroeconomic stability.
A Reuters poll showed the central bank is expected to cut its key interest rate further at the meeting on Monday, with policymakers continuing their efforts to revive a fragile economy as inflation eases.
The October reading was up 1.2pc month-on-month (MoM), PBS said, adding that the fiscal year’s average inflation, from July to October, stands at 8.7pc, which is below the 9.5pc projected by the International Monetary Fund (IMF).
Year-on-year
Urban:
Food item prices that increased included: Pulse Gram (72.37pc), Besan (53.55pc), Onions (38.13pc), Fish (33.06pc), Chicken (26.83pc), Fresh Vegetables (23.86pc) and Pulse Moong (21.63pc).
Non-food items prices that increased: Gas Charges (318.74pc), Motor Vehicle Tax (168.79pc), Dental Services (29.23pc) and Woolen and Readymade Garments (20.49pc).
Rural:
Food item prices that increased included: Pulse Gram (63.11pc), Onions (53.76pc), Besan (48.25pc), Chicken (26.39pc), Pulse Moong (26.24pc), Milk Powder (26.06pc) and Fish (24.25pc).
Non-food items that increased: Motor Vehicle Tax (126.61pc), Woolen Readymade Garments (36.50pc), Education (22.96pc), Communication Services (18.70pc) and Cotton Cloth (18.65pc).
Month-on-month
Urban:
Food item prices that increased included: Fresh Vegetables (12.90pc), Onions (7.64pc), Wheat (5.96pc), Pulse Gram (5.73pc), Fish (5.54pc) and Condiments and Spices (5.50pc)
Non-food items prices that increased: Water Supply (8.65pc), Electricity Charges (5.02pc), Household Textiles (3.91pc), Household equipment (2.59pc) and Mechanical Services (2.06pc).
Rural
Food item prices that increased included: Fresh Vegetables (21.32pc), Onions (8.56pc), Fish (7.35pc), Pulse Gram (6.88pc), Besan (5.42pc) and Condiments and Spices (5.29pc).
Non-food items that increased: Dental Services (6.09pc), Electricity Charges (5.02pc), Personal Effects (4.09pc), Hospitals Services (1.51pc) and Recreation and Culture (1.43pc).