Despite rising food and energy costs, the short-term inflation rate in the week ending July 11 stayed over 23 percent year over year.
The Sensitive Price Index (SPI)-based inflation for the week that ended on July 11, 2024, climbed by 0.11 percent over the previous week, according to the Pakistan Bureau of Statistics (PBS).
Out of 51 items, 23 (45.10 percent) saw price increases during the week, 06 (11.76 percent) saw price decreases, and 22 (43.14 percent) saw constant prices.
Prices for chicken (16.34 percent), powdered milk (6.07 percent), pulse gramme (3.47 percent), lawn cloth (2.43 percent), long cloth (1.58 percent), fresh milk (1.37 percent), pulse masoor (1.23 percent), and pulse moong (1.02 percent) all saw significant increases.
Conversely, a decline was noted in the costs of tomatoes (19.47 percent), bananas (2.30 percent), wheat flour (1.85 percent), onions (1.55 percent), potatoes (0.86 percent), and eggs (0.61 percent).
Read more: Pakistan’s CPI-based inflation to fall below 14% in May
Trend from year to year
In Q1, petrol prices increased by 57%, tomatoes by 124.55%, onions by 86.17%, chilli powder by 55.00%, pulse gramme by 36.77%, garlic by 36.20%, powered milk by 33.33%, pulse moong by 28.59%, shirting by 27.08%, salt powder by 26.79%, LPG by 23.93%, beef by 22.59%, pulse mash by 22.46%, and electricity expenses by 21.46% were the main causes of the 23.33 percent increase in Q1 over the previous year.
There are a number of factors that affect inflation in Pakistan, which results in varying rates and important social and economic fallout.
- Economic Strategies:
Monetary policies in the nation have an effect on inflation. Rising prices can result from changes in the money supply.
- Domestic Demand:
Inflation was also fueled by government stimulus measures that raised domestic demand.
- Energy Costs:
Increasing energy prices are a factor in cost-push inflation.
- Import expenses:
Elevated import expenses contribute to inflation as well.