Inflation rate edges up to 7.2% in October

Pakistan's headline inflation rose to 7.2% year-on-year in October 2024, slightly up from 6.9% in September, according to data from the Pakistan Bureau of Statistics (PBS). 

The Consumer Price Index (CPI) increased by 1.2% month over month, contrasting with a decrease of 0.5% in the previous month and an increase of 1% in October 2023.

The average CPI for the first four months of fiscal year 2025 stands at 8.68%, a significant decline from 28.45% during the same period last year. However, the October figure slightly surpasses official forecasts, which estimated inflation would remain between 6-7% and drop to 5.5-6.5% by November.

The finance ministry's monthly economic update indicated that inflation remains a persistent issue in Pakistan, despite a notable decrease from a record high of 38% in May 2023. 

Breaking it down by region, urban inflation remained stable at 9.3% year-on-year, while rural inflation saw a year-on-year increase of 4.2%. On a month-to-month basis, urban inflation rose by 1.1%, and rural inflation increased by 1.5% in October 2024.