Islamabad, January 13, 2024 – Alarming economic indicators continue to surface in Pakistan as the Sensitive Price Indicator (SPI) reports a staggering 44.16 percent year-on-year (YoY) inflation for the week ending January 11, 2024.
The Pakistan Bureau of Statistics (PBS) reveals a disconcerting surge in essential commodity prices, shedding light on the economic challenges faced by the country.
The SPI data highlights the unprecedented increase in various items, with Gas Charges for Q1 leading the pack at an astonishing 1108.59 percent, followed closely by Tomatoes at 155.83 percent. Other notable surges include Cigarettes (93.22 percent), Chilies Powder (81.74 percent), and Garlic (60.43 percent). The cost of basic consumer goods such as Gents Sponge Chappal (58.05 percent), Sugar (57.20 percent), and Wheat Flour (55.26 percent) has also witnessed a sharp spike.
The rising inflation has not spared the food sector either, with essential items like Rice IRRI-6/9 (51.57 percent), Gur (50.58 percent), and Rice Basmati Broken (46.91 percent) experiencing substantial increases. Meanwhile, a few items have seen a marginal decrease in prices, including Mustard Oil (7.10 percent), Onions (6.68 percent), Vegetable Ghee 1 KG (1.67 percent), and Bananas (1.53 percent).
For the current week ending January 11, 2024, the SPI increased by 1.36 percent, emphasizing the persistent and rapid nature of the inflationary trends. Tomatoes recorded a significant surge of 15.63 percent, followed by Onions (8.94 percent) and Chicken (6.42 percent). Other notable increases include Electricity Charges for Q1 (5.11 percent), Eggs (4.31 percent), and Match Box (2.56 percent).
Conversely, prices of certain items witnessed a decline during the same period. Potatoes saw a notable decrease of 5.92 percent, while Vegetable Ghee 1 KG dropped by 0.84 percent. Minor reductions were also observed in Sugar (0.43 percent), Vegetable Ghee 2.5 KG (0.29 percent), Mustard Oil (0.26 percent), and Cooking Oil 5 Litre (0.17 percent).
Out of the 51 items monitored, prices of 21 (41.18 percent) witnessed an increase, while 8 (15.68 percent) experienced a decrease. The remaining 22 (43.14 percent) items remained stable, portraying a complex economic landscape characterized by volatility.
The soaring inflation poses a significant challenge for policymakers in Pakistan, requiring swift and effective measures to mitigate its impact on the populace. As essential commodities become increasingly unaffordable for the average citizen, the government faces mounting pressure to implement policies that stabilize prices and alleviate the burden on households struggling to make ends meet. The trajectory of the inflationary trend will undoubtedly shape the economic discourse in the coming months, demanding a comprehensive and strategic response to safeguard the financial well-being of the nation.
