Short-term inflation falls for 2nd straight week

Pakistan's short-term inflation reading, measured through the Sensitive Price Indicator (SPI), decreased for the second consecutive week, falling 0.65% for the week ended January 9, 2025.

However, the year-on-year trend in the weekly inflation depicted an increase of 1.90% compared to the corresponding week of last year.

According to data released by the Pakistan Bureau of Statistics (PBS) on Friday, out of a basket of 51 commodities covered by the SPI, prices of 18 items increased, 10 items became cheaper and 23 items saw no change in prices.

PBS report revealed that during the week under review, the price of tomatoes per kilogramme decreased 31.40% while potatoes got cheaper by 10.36%, eggs by 5.96% and lentils by 1.64%. Prices of onions, rice and mash pulse also decreased.

On the other hand, the price of moong pulse increased 2.56%, five-litre cooking oil rose 1.56% and sugar became expensive by 1.23%. Statistics indicate that the change in inflation rate for the group with monthly income up to Rs17,732 was 1.44%, registering a decrease of 1.03%. For the group with income in the range of Rs17,733 to Rs22,888 per month, the inflation rate was 1.28%, down 0.92%, and for households with income ranging from Rs22,889 to Rs29,517 per month, the inflation rate was 2%, lower by 0.75%.

For the income group earning Rs29,518 to Rs44,175 per month, the inflation rate was 1.97%, recording a fall of 0.70%, while for the group with income higher than Rs44,176 per month, the inflation rate stood at 2.22%, mirroring a dip of 0.54%.