Islamabad August 30, 2024: The recent data on Pakistan’s Sensitive Price Indicator (SPI) indicates a notable shift in the short-term inflation trajectory, with the year-on-year (YoY) inflation rate easing to a 28-month low of 15.34% for the week ending August 29, 2024.
This is the lowest YoY SPI reading since May 5, 2022, marking a significant milestone in the country’s inflation trend, which has been volatile over the past two years.
Key Highlights:
Weekly Change: The SPI for the week showed a decrease of 0.62%, reflecting a slight ease in price pressures on a week-to-week basis.
Price Decreases:
Chicken: Recorded a price drop of 3.02%, continuing a downward trend likely due to improved supply or reduced demand.
Bananas: Prices fell by 2.35%, possibly due to seasonal factors.
Wheat Flour: Saw a modest decrease of 0.85%, which is significant given its staple status in the Pakistani diet.
Price Increases:
Tomatoes: Prices surged by 8.03%, driven by supply constraints, possibly due to seasonal shortages or logistical issues.
Onions: Increased by 6.53%, which might be attributed to supply disruptions or increased demand.
Pulse Gram: Rose by 2.20%, reflecting pressures in the pulses market, which could be due to import costs or domestic production shortfalls.
Overall Market Activity:
Out of the 51 items monitored, 33.33% (17 items) saw price increases, 19.61% (10 items) experienced price decreases, and 47.06% (24 items) remained stable.
