Life-Saving Drugs to See Over 3% Price Increase Based on Inflation
ISLAMABAD – The prices of a large number of essential and life-saving medicines in Pakistan are expected to increase in the coming weeks, as the government prepares to implement the annual price adjustment in accordance with the Drug Pricing Policy. This policy links drug prices to the national inflation rate, aiming to balance the sustainability of the pharmaceutical sector with affordability for patients.
According to official sources, the Drug Regulatory Authority of Pakistan (DRAP) has begun receiving price hike applications from pharmaceutical manufacturers. Under the current framework, drugs classified under government price control can be increased annually based on inflation trends. For 2025, the recorded inflation rate stands at 4.49%, and the price adjustment may be capped at 70% of that rate, which translates to an approximate 3.14% increase for controlled medicines.
DRAP Chief Executive Officer Obaidullah stated that the adjustment is moderate and justified. “This is not a significant hike. It is a routine adjustment based on inflation data provided by the Pakistan Bureau of Statistics,” he clarified.
Government Forms Committee to Address Exceptional Cases
To ensure fairness in cases where pharmaceutical companies may face exceptional production cost challenges, Prime Minister Shehbaz Sharif has established a special inter-ministerial committee. The committee, led by Finance Minister Muhammad Aurangzeb and Federal Health Minister Dr. Mustafa Kamal, will evaluate hardship cases and recommend additional price revisions where deemed necessary.
Health Minister Kamal said the committee would review the hardship applications and submit its final recommendations to the prime minister within two weeks. “The process is transparent and patient-centric. Any increase beyond the standard adjustment will require strong justification,” he noted.
New Prices Likely to Take Effect in August or September
The revised drug prices are expected to be announced by August or September, following the completion of the review process and government approval. While the hike will affect a broad range of medications, including antibiotics and chronic disease treatments, officials maintain that the decision is regulated and necessary to prevent medicine shortages and maintain production viability.
Authorities also assured that they are committed to avoiding undue financial pressure on patients, and any price changes will be implemented carefully, keeping public health priorities in mind.
