Inflation rates

 Pakistan's inflation rate is more than 2 years old:

Pakistan's annual inflation rate rose to 13.8 percent in May 2022 from 13.4 percent last month. It has been the highest inflation rate since January 2020, supported by transport prices (31.8 percent compared to 28.3 percent); non-alcoholic food and beverages (17.25 per cent compared to 17 per cent), household goods (16.1 per cent compared to 14.7 per cent), and restaurants and hotels (16 per cent compared to 14.6 per cent). At the same time, prices for housing and utilities have dropped (5.8 percent compared to 7.1 percent). Every month, consumer prices rose 0.4 percent, down from a 1.6 percent increase in April.

Pakistan's inflation rate is 11 years high:

 

Pakistan's annual inflation rate rose to 13.4% in April 2022 from 12.7% last month. It was the highest inflation rate since January 2011, mainly driven by rapid inflation (28.3% vs. 26.3% in March); non-alcoholic food and beverages (17.0% vs. 15.3%), household goods (14.7% vs. 13.8%).

With inflation growing this financial year, the Consumer Price Index (CPI) recorded a 13 percent increase in January 2022, the highest inflation rate recorded in the past two years. Pakistan reported a 14.6 percent inflation rate in January 2020.

In December 2021, it was 12.3 percent, the Pakistan Bureau of Statistic (PBS) reported on Tuesday.

Inflation has been on the rise for the past five months. According to PBS data, the CPI jumped to 12.96 percent in January in the same month last year.

The Ministry of Finance (MOF) in issuing certain inflation data to regional countries has tried to give the impression that inflation is due to rising commodity prices.

“CPI inflation reached 10.26% during July-Jan FY-2022 compared to 8.19% during the same period last year. The CPI of 12.96 percent in January 2022 was largely due to the impact and increase in global commodity prices, “said the MOF.

According to the department, the increase in food and fuel prices is due to declining global food production and high demand due to the coronavirus epidemic and the disruption of supply, which has been distributed by domestic prices of these items.

The department while sharing data compared inflation in Pakistan similar to Turkey, Iran, India, Zimbabwe and Kirghizstan. According to inflation data in Iran and Zimbabwe it was 2.4 per cent and 5.2 per cent respectively in January compared to 0.4 per cent recorded in Pakistan according to MOM. As per India shows a slight slowdown in inflation between January 2021 to December 2021 compared to the CPI of Pakistan.

Electricity prices, rupee-dollar parity and international commodity prices have had a significant impact on inflation in the country.

PBS reported that the overall inflation rate was recorded in urban and rural areas. The rate of inflation in urban areas rose by 13 percent in January and in rural areas it rose to 12.9 percent in the same month last year. In January last year, the inflation rate in urban areas was 5%, while in rural areas it stood at 6.6%.