Consumers in Pakistan Face Soaring Inflation Rates

The rate of inflation in Pakistan has shown a concerning trend, with prices continuing to climb. The Sensitive Price Indicator (SPI) has reported a 1.30% increase in inflation on a weekly basis, marking the third consecutive week of rising prices. Year-on-year inflation has also spiked to 23.03% for the week ending June 13, 2024, compared to the same period last year.

During the past week, essential items such as chicken, tomatoes, eggs, moong pulse, mutton, beef, and chickpeas have seen price hikes. However, some relief was observed as prices of items like flour, sugar, garlic, and red chili powder decreased. The prices of other essential goods in the SPI basket remained stable.

The impact of this inflation surge is particularly felt by consumers with a monthly income between Rs22,889 to Rs29,517, experiencing a significant inflation rate of 26.07%. Notable price increases were seen in tomatoes (27.14%), chicken (11.75%), and electricity (8.73%). On the other hand, prices of onions, chili powder, Basmati rice, garlic, Irri rice, bread, wheat flour, and sugar have decreased.

The recent surge in inflation in Pakistan, as indicated by the SPI, is a cause for concern for consumers, especially those in the middle-income bracket. It is essential for individuals to monitor their expenses and adapt to these changing price dynamics to manage their budgets effectively.