Local media reported that Pakistan’s annual inflation as measured by the Consumer Price Index (CPI) hit a record high of 31.55 percent in February, compared to 27.6 percent in the previous month.
This is the highest ever CPI increase based on data available since July 1965, according to Arif Habib Corporation, Dawn reported.
Inflation reached 12.2 percent in February 2022.
According to data released by the Pakistan Bureau of Statistics (PBS), inflation in urban and rural areas rose to 28.82 percent and 35.56 percent, respectively, on an annual basis.
The inflation rate increased by 4.32 percent on a month-on-month basis.
Consumer prices have risen sharply over the past several months, with annual inflation remaining above 20 per cent since June last year, Dawn reported.
In February, the rise in inflation was driven by double-digit increases in all sub-indices except one.
The inflation figure is higher than the finance ministry’s estimate of 30 per cent.
In its monthly economic update and outlook for February, the ministry said CPI-based inflation in the coming months would be 28-30 per cent on a year-on-year basis, adding that the recent political and economic uncertainties are raising inflation expectations. Are.
According to the Dawn report, the ministry expects inflation to remain high due to uncertain political and economic environment, pass-through of currency depreciation, increase in energy prices and increase in administered prices.
Although the State Bank of Pakistan is pursuing a contractionary monetary policy, inflationary expectations will take some time to settle. The report said that the Centre, along with the provincial governments, is closely monitoring the demand-supply gap of essential commodities and taking necessary measures to stabilize their prices.
–IANS
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