Published On: Thu, Sep 7th, 2017

Pakistan Inflation Jumps to 3.4%

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Pakistan InflationThe prices of petroleum and perishable items increased causing Pakistan inflation in consumer sector to jump up to 3.5% in the month of August.

According to figures released by the Pakistan Bureau of Statistics, month-on-month rise was 0.2%, compared to 0.3% increase in July, and 0.3% in August 2016.

The Consumer Price Index (CPI) measures inflation, it tracks prices of around 480 commodities every month in urban centres across the country. Average annual inflation in the first two months, ie from July-August, of the current fiscal year stood at 3.16pc against 3.84pc in the same period a year ago. The trend suggests the annual inflation remained within the target, and any increases are flattening out.

The annual inflation target for the current fiscal year is 6%. The food group with 37.47% weight in CPI basket showed an increase of 1.3% in August.

On a month-on-month basis, overall food inflation increased 0.4% in August due to an increase of 5.25% in the prices of perishable and 1.71% in non-perishable products.

Food items whose prices increased the most in August were onion 33.88%; tomato 25.74%; sugar 6.93%; eggs 2.22%; meat 1.92%; potato 1.91%; rice 1.6% and fish 1.06%. Food prices usually rise in the run up to Eid, but this year the rise has been slightly higher than normal.

Meanwhile, the Sensitive Price Index edged down 0.24% and the Wholesale Price Index rose 0.84% in August. None of these increases are considered abnormal by analysts.

About the Author

- An enthusiast working in Dubai as an Assistant Operations Manager. Writing about Pakistan and the latest happenings, trends around the globe is my passion. A dreamer, learner and a major foodie.