Karachi, September 15, 2023 – In an unexpected revelation, official statistics indicate that Pakistan has experienced a remarkable 22 percent decline in electricity charges.
The Pakistan Bureau of Statistics (PBS) reported this decline in its weekly inflation meter, which is based on the Sensitive Price Indicator (SPI).
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According to the PBS data, electricity charges for the first quarter of the fiscal year had fallen by approximately 21.96 percent by September 14, 2023, compared to the same week in the previous year. This decline in electricity charges comes after a period of significant increases, especially following the removal of subsidies and adjustments in fuel charges. The government had also raised the base price of electricity charges, leading to higher bills for consumers.
In response to the soaring electricity bills and public protests, the government pledged to take initiatives to reduce electricity costs. This decline in electricity charges is likely a result of these efforts to alleviate the burden on citizens.
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In addition to the reduction in electricity charges, the PBS also reported a 24.55 percent decrease in tomato prices and a 5.31 percent drop in onion prices.
However, the year-on-year trend, as highlighted by the PBS, still shows significant increases in the prices of various essential commodities. These increases include a 26.25 percent rise in wheat flour prices, a 108.38 percent increase in gas charges for the first quarter, a 98.11 percent hike in cigarette prices, and substantial increases in the prices of items such as rice, sugar, tea, and more.
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The SPI, computed on a weekly basis, provides insights into the price movements of essential commodities, allowing for a frequent review of the price situation in the country. It encompasses 51 essential items collected from 50 markets in 17 cities across Pakistan.
For the current week ending on September 14, 2023, the SPI recorded a decrease of 0.25 percent compared to the previous week. This decline is attributed to reduced prices in food items such as sugar, chicken, eggs, and bananas. Conversely, notable increases were observed in the prices of tomatoes, garlic, bread, onions, and other items.
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During the week, out of the 51 items monitored, prices of 24 items increased (47.06 percent), prices of 8 items decreased (15.69 percent), and prices of 19 items remained stable (37.25 percent).
These fluctuations in prices reflect the ongoing challenges and dynamics in Pakistan’s domestic market, where the government’s efforts to stabilize and lower prices continue to be a focus of economic policy.
