Pakistan CPI inflation hits multi-decade high 27.3% on year in August

ISLAMABAD: Pakistan’s consumer price index (CPI) surged to a multi-decade high of 27.3 per cent in August from a year earlier, government data showed on Thursday (Sep 1), as authorities warn massive flooding in the country could exacerbate already skyrocketing prices.

Price rises in staples, including vegetables, wheat and cooking oil led the high inflation, the Pakistan Bureau of Statistics said in a statement. In July, annual CPI inflation was at 24.9 per cent.

Economists said the August inflation was the highest in more than 40 years.

“Everyone is asking if inflation is highest ever? Answer: Inflation is at a 47 (year) high following from 1975”, said Khaqan Hassan Najeeb, an economist and former adviser to Pakistan’s Ministry of Finance.

CPI was up 2.4 per cent in August from July, slowing from 4.3 per cent in the previous month, according to the statistics agency.