ISLAMABAD: Pakistan’s Consumer Price Index (CPI) for the month of May 2024 witnessed a notable decrease, but the annual inflation figures continue to raise concerns. The Ministry of Planning, Development, and Special Initiatives, along with the Pakistan Bureau of Statistics, released a comprehensive report shedding light on the country’s economic landscape.
The month-on-month inflation rate for May 2024 over April 2024 stood at -3.24%. While this indicates a temporary relief from rising prices, the year-on-year inflation rate for May 2024 over May 2023 was a staggering 11.76%. Furthermore, the average inflation rate for the period of July 2023 to May 2024, compared to the same period in the previous year, was 24.52%. These figures underscore the persistent inflationary pressures facing the Pakistani economy.
Analyzing the CPI on the new base year of 2015-16, which encompasses both urban and rural sectors, the report revealed insights into the dynamics of inflation across various expenditure groups. The urban CPI experienced a decrease of 2.80%, while the rural CPI saw a more significant decline of 3.89% in May 2024 compared to April 2024. Notably, the food and non-alcoholic beverages group witnessed a substantial decrease of 7.83%, driven primarily by a decline in prices of perishable food items such as tomatoes and onions.
Delving deeper into the urban and rural consumption patterns, the report highlighted significant fluctuations in the prices of essential commodities. In urban areas, while items like potatoes and meat witnessed price hikes, others like tomatoes and wheat experienced sharp declines. Similar trends were observed in rural areas, with notable increases in prices of potatoes and meat, alongside decreases in tomatoes and wheat.
Moreover, the report outlined the year-on-year changes in prices, revealing stark contrasts between May 2024 and May 2023. Urban areas saw significant increases in prices of essential food items like onions and tomatoes, while rural regions experienced similar trends along with notable hikes in electricity charges and transport services.
While certain sectors such as clothing and footwear witnessed consistent increases in prices, others like communication saw marginal fluctuations. The report also highlighted notable increases in education-related expenses across both urban and rural sectors.
As Pakistan grapples with persistent inflationary pressures, policymakers face the challenge of implementing effective measures to stabilize prices and ensure economic stability. Addressing the root causes of inflation, including supply chain disruptions and rising global commodity prices, will be crucial in charting a path towards sustainable economic growth and mitigating the impact on consumers.
Pakistan’s Consumer Price Index (CPI) for the month of May 2024 witnessed a notable decrease, but the annual inflation figures continue to raise concerns. The Ministry of Planning, Development, and Special Initiatives, along with the Pakistan Bureau of Statistics, released a comprehensive report shedding light on the country’s economic landscape.
The month-on-month inflation rate for May 2024 over April 2024 stood at -3.24%. While this indicates a temporary relief from rising prices, the year-on-year inflation rate for May 2024 over May 2023 was a staggering 11.76%. Furthermore, the average inflation rate for the period of July 2023 to May 2024, compared to the same period in the previous year, was 24.52%. These figures underscore the persistent inflationary pressures facing the Pakistani economy.
Analyzing the CPI on the new base year of 2015-16, which encompasses both urban and rural sectors, the report revealed insights into the dynamics of inflation across various expenditure groups. The urban CPI experienced a decrease of 2.80%, while the rural CPI saw a more significant decline of 3.89% in May 2024 compared to April 2024. Notably, the food and non-alcoholic beverages group witnessed a substantial decrease of 7.83%, driven primarily by a decline in prices of perishable food items such as tomatoes and onions.
Delving deeper into the urban and rural consumption patterns, the report highlighted significant fluctuations in the prices of essential commodities. In urban areas, while items like potatoes and meat witnessed price hikes, others like tomatoes and wheat experienced sharp declines. Similar trends were observed in rural areas, with notable increases in prices of potatoes and meat, alongside decreases in tomatoes and wheat.
Moreover, the report outlined the year-on-year changes in prices, revealing stark contrasts between May 2024 and May 2023. Urban areas saw significant increases in prices of essential food items like onions and tomatoes, while rural regions experienced similar trends along with notable hikes in electricity charges and transport services.
While certain sectors such as clothing and footwear witnessed consistent increases in prices, others like communication saw marginal fluctuations. The report also highlighted notable increases in education-related expenses across both urban and rural sectors.
As Pakistan grapples with persistent inflationary pressures, policymakers face the challenge of implementing effective measures to stabilize prices and ensure economic stability. Addressing the root causes of inflation, including supply chain disruptions and rising global commodity prices, will be crucial in charting a path towards sustainable economic growth and mitigating the impact on consumers.
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