Inflation Increases to Its Highest in Four Months

Inflation Increases to Its Highest in Four Months

Inflation in Pakistan rose to 9.2 % in October as compared to 9% in September, according to a report issued by the Pakistan Bureau of Statistics (PBS). Consumer Price Index (CPI) also states that this is the highest inflation figure in the last 4 months. The major factors behind this increase are depreciation in the value of money and a surge in energy prices.

During July-October, the average inflation rate was 8.74% on a yearly basis. Inflation was at its peak in April, around 11.1%, and since then it has been declining due to a decrease in the prices of agricultural products.

Mr. Shaukt Tareen, Adviser to the Prime Minis­ter on Finance and Revenue Shaukat Tarin says, “pr­i­ces of commodities in the world are not in my control”. He added that we are now importing sugar and wheat in addition to pulses. He further elaborated that an increase in the international market is bound to have an impact on the local market as well. Tarin also said that due to the ongoing pandemic, the supply chain of commodities was affected, however, things are now getting back to normal.