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Pakistan Inflation Picks Up to 7% in February, PBS Data Shows

The outcome matched the Finance Division’s forecast.

Overview

  • Consumer prices rose 0.3% from January, easing from a 0.4% increase the prior month.
  • Urban inflation registered 6.8% year over year, with rural inflation higher at 7.3%.
  • Core non-food, non-energy inflation remained elevated at 7.1% in urban areas and 8.3% in rural readings.
  • The Sensitive Price Indicator increased 4.8% year over year and the Wholesale Price Index rose 1.0%, indicating milder upstream pressure than retail prices.
  • The State Bank of Pakistan kept its policy rate at 10.5% in its latest review, and Governor Jameel Ahmad cautioned inflation could exceed 7% in the fiscal year’s second half.