ISLAMABAD: Inflation based on sensitive price indicator (SPI) has climbed up by around 47 per cent year on year (YoY) week ended March 22, 2023, Pakistan Bureau of Statistics (PBS) said on Friday.
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Pakistan’s SPI inflation hits 42.27% YoY by week ended March 9
ISLAMABAD: Pakistan’s inflation based on Sensitive Price Indicator (SPI) recorded an increase of 42.27 per cent year on year (YoY) by week ended March 9, 2023.
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Prices of diesel, petrol jump by 93.82% and 77.89% in latest inflation numbers
ISLAMABAD: The prices of diesel and petrol have recorded an increase of 93.82 per cent and 77.89 per cent, respectively in the latest inflation numbers.
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Prices of essential items soar by 38.42pc in Pakistan
ISLAMABAD: Prices of essential items have soared by 38.42 per cent by week ended February 16, 2023 on year on year (YoY) basis, official data revealed on Friday.
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Expected sales tax on petroleum products to further inflate consumer prices
The government may impose sales tax on petroleum products in coming days which would massively increase prices of consumer products.
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Unilever Pakistan forecasts erosion in consumer purchasing power
KARACHI: Unilever Pakistan Foods Limited – fast-moving consumer goods company – on Monday said that high inflation to erode purchasing power of consumers.
While presenting financial results for nine months period ended September 30, 2022, the company said Pakistan’s economic and operating environment remains challenging as the country continues to grapple with sustained double-digit inflation, low foreign exchange reserves and aftermath of recent floods.
“The above factors are expected to result in a considerable overall economic slowdown and further erosion of purchasing power of the consumers.”
It said that in the midst of the situation, the management remains committed to navigating the challenges and staying relevant to the consumer by leveraging the power of its brands, delivering delightful innovations and driving cost transformation. “We are confident that we will continue to deliver competitive, consistent, responsible and profitable growth benefitting all stakeholders,” the company added.
The board of directors of the company met on October 24, 2022 and approved the un-audited condenses interim financial information for the nine months ended September 30, 2022.
According to the company, despite challenging economic and political environment, the business continued its positive momentum and delivered a growth of 36.6 per cent with a healthy mix of pricing and volume.
The growth was broad based with both retail and food solution business delivering consistent performance on the back of strong brand equity, innovations and wider distribution.
“Inflationary headwinds resulted in a gross margin dilution of 202 basis points to 41.4 per cent. However, earnings per share grew by 33.3 per cent led by strong topline growth,” the company added.
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Essential items witness inflation above 42%: Pakistan Bureau
ISLAMABAD: Pakistan Bureau of Statistics (PBS) on Friday disclosed that prices of essential items have recorded inflation above 42 per cent on year on year (YoY) basis by week ended August 18, 2022.
The bureau stated that Sensitive Price Indicator (SPI) of essential items depicts an increase of 42.31 per cent.
READ MORE: High inflation may force further monetary tightening
The essential items that recorded increase in prices during this period are included: Pulse Masoor (111.02 per cent), Diesel (108.77 per cent), Petrol (94.53 per cent), Onions (94.43 per cent), Cooking Oil 5 litre (72.96 per cent), Mustard Oil (71.08 per cent), Chicken (69.04 per cent), Vegetable Ghee 1 Kg (68.56 per cent), Vegetable Ghee 2.5 Kg (67.05 per cent), Electricity for Q1 (63.03 per cent), Washing Soap (61.92 per cent), Pulse Gram (58.93 per cent), Gents Sponge Chappal (52.21 per cent), Pulse Mash (51.51 per cent) and Garlic (36.59 per cent).
While a decrease observed in the prices of Chilies Powder (43.42 per cent), Sugar (16.55 per cent) and Gur (1.96 per cent).
READ MORE: Pakistan inflation hits 14-year high at 25% in July
The SPI for the week ended on August 18, 2022 recorded an increase of 3.35 per cent.
Increase is observed in the prices of food items, Tomatoes (20.28 per cent), Chicken (7.57 per cent), Onions (2.30 per cent), Powdered Milk (2.03 per cent), Eggs (1.63 per cent), Pulse Moong (1.42 per cent) and Potatoes (1.07 per cent), non-food items, Electricity for Q1 (6.83 per cent), Petrol (2.96 per cent) and Cigarette (1.69 per cent).
On the other hand, a decrease observed in the prices of LPG (3.46 per cent), Vegetable Ghee 1Kg (1.16 per cent), Garlic (0.94 per cent), Mustard Oil (0.71 per cent), Pulse Masoor (0.42 per cent), Pulse Gram (0.36 per cent), Vegetable Ghee 2.5Kg (0.33 per cent), Cooking Oil 5 litre (0.31 per cent), Diesel (0.18 per cent), Firewood Whole (0.16 per cent) and Sugar (0.03 per cent).
READ MORE: Pakistan hikes key policy rate by 125 basis points to 15%
During the week, out of 51 items, prices of 25 (49.01 per cent) items increased, 11 (21.57 per cent) items decreased and 15 (29.42 per cent) items remained stable.
The SPI is computed on weekly basis to assess the price movements of essential commodities at shorter interval of time so as to review the price situation in the country. SPI comprises of 51 essential items collected from 50 markets in 17 cities of the country.
READ MORE: Pakistan’s sensitive price inflation surges by 37.67%
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High inflation may force further monetary tightening
The relentless surge in inflationary pressures may prompt the State Bank of Pakistan (SBP) to consider additional measures to tighten the monetary stance, as the central bank has already elevated the policy rate to 15 percent.
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Ufone increases rates amid rising inflation
KARACHI: Ufone, Pakistan’s largest phone service provider, has increased tariff for its various packages.
In a message sent by the cellular service provider to its customers said: “… to maintain quality of services during ongoing rise in inflation, there will be changes in some of our offers.”
READ MORE: Ufone 4G ranked top voice and data network
The rates of following packages have been increased:
UPower 100, which was of Rs.100 has been increased to Rs.120 with change in resources of addition 1000 SMS in All in One (Option 1) Variant which will be effective from June 28, 2022.
Super Card Plus, which was of Rs.649 has been increased to Rs.699 which will be effective from June 29, 2022. The resources are same as previous.
READ MORE: Ufone signs Rs21 billion agreement for 4G spectrum
Super Card Gold, which was of Rs.999 has been increased to Rs.1099 with change of resources of addition 100 Off-Net minutes and 2GB Main volume and 2 GB Social Volume (1 GB FB and 1 GB WA) which will be effective from June 29, 2022.
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Average inflation estimated up to 12% in FY22
ISLAMABAD: The average inflation for the fiscal year 2021/2022 has been estimated up to 12 per cent as against the target of 8 per cent, according to Economic Survey of Pakistan released on Thursday.
The survey said that the rising input costs on the back of high utility prices and the lagged impact of exchange rate depreciation likely to maintain upward pressure on inflation in the following month of outgoing fiscal year.
There is significant uncertainty around the outlook for international commodity prices as well which had been exacerbated by the Russia- Ukraine conflict.
The impact will be more visible in non-food prices, while the food prices are likely to remain stable due to effective monitoring of prices and smooth supply of essential items by the federal and provincial governments.
READ MORE: SBP jacks up policy rate by 6.75% to 13.75%
“As a result of these developments, average inflation forecasts have been revised upwards and will remain 11.5-12.0 percent in FY2022,” the survey said.
For the outgoing fiscal year, the inflation target was set at 8.0 percent, but abnormal increase in global commodity prices especially crude oil and the edible oil has soared the domestic prices since Pakistan is net importer of these essential items.
It is the 6th consecutive month when inflation rate has remained in double digit. Consumer Price Index (CPI) in April 2022 stood at 13.4 percent on a year-on-year (YoY) basis which was up from 12.7 percent in the previous month and 11.1 percent in April 2021. The pace of food inflation surged 15.6 percent in Urban and 17.7 percent in Rural during the month of April 2022. The CPI Inflation, recorded at 11.0 percent on average during July-April FY2022 as against 8.6 percent in same period last year.
READ MORE: Tax to GDP ratio estimated at 10.8% in FY22: Economic Survey
The pressures on headline inflation during the period can be attributed to adjustment in prices of electricity and gas, a significant increase in the non-perishable food prices, exchange rate depreciation along with rapid increase in global fuel and commodity prices.
The drivers of global price hike highlight that demand for goods was already strong but supply side limitations due to global logistics (transportation congestion) constraints added stress to already swelling prices. It is also recorded that the Wholesale Price Index (WPI) continued its upward trajectory, indicating persistent cost push inflationary pressure in the economy.
READ MORE: LSM posts 10.4% growth in July – March: Economic Survey
The government made best efforts to ensure smooth supply of essential domestic goods through vigilant monitoring of prices both at provincial and federal level. A Ramazan package of Rs 8.2 billion was provided through Utility Store Corporation (USC) for providing essential items to general public at affordable prices. Government has already approved import of three million metric tonnes of wheat to ease the supply in the country.
Further, continuous relief to the lower strata of the society from global inflationary pressure, the ECC granted approval to revise prices of wheat flour and sugar from Rs 950/20kg to Rs 800/20kg and Rs 85/kg to Rs 70/kg, respectively, and also directed that discount of Rs 190/kg on vegetable ghee will be continued. The government will continue to absorb the cost of subsidy for the benefit of the common man.
READ MORE: Agriculture surpasses FY22 growth target: Economic Survey