From The Express Tribune · Our Correspondent · · 1m 10s
Core Inflation Drops to 7.5% in October
Pakistan's core inflation falls to 7.5% in October, widening the gap between core inflation and policy rate for banks.
In brief
Pakistan's core inflation falls to 7.5% in October, widening the gap between core inflation and policy rate for banks. Pakistan's core inflation eased to 7.5% in October, widening the gap with the policy rate to 4.5% for commercial banks. Originally reported by The Express Tribune.
Core Inflation Slows
Core inflation eased to 7.5% in October, the second consecutive month of decline after peaking at 8.8% in August.
Policy Rate Gap Widens
The difference between core inflation and the policy rate has widened to 4.5% for commercial banks, benefiting them at the expense of borrowers.
Food Inflation Slows
Food inflation dropped from 8.1% to 7.8% in urban areas and fell to 7.1% in rural regions in October.
Energy Prices Decline
Energy prices slowed to 10.6% in urban areas and 12.1% in rural areas, the lowest in months.
Wheat Prices Surge
Wheat prices rose 82% year-on-year in October, prompting government wheat imports of 765,000 tonnes.
Petrol Prices Jump
Petrol prices increased 42% year-on-year in October, with per-litre cost at Rs379.
Transport Costs Rise
Transport costs increased 27% year-on-year in October, driven by higher fuel and vehicle taxes.
The short version
Pakistan's core inflation eased to 7.5% in October, widening the gap with the policy rate to 4.5% for commercial banks.
