Islamabad June 3 2025: Pakistan’s Consumer Price Index (CPI) inflation rose to 3.5% year-on-year in May 2025, a significant increase compared to 0.3% in April 2025, though still markedly lower than the 11.8% recorded in May 2024, according to Pakistan Bureau of Statistics.
The rise in inflation was primarily driven by a sharp increase in food prices. Notable year-on-year hikes included Chicken (51.96%), Moong Pulse (31.13%), Fresh Fruits (29.5%), Butter (26.15%), Milk Powder (21.80%), Sugar (21.71%), Honey (21.23%), Condiments & Spices (19.98%), Gram Pulse (18.25%), Besan (17.84%), Vegetable Ghee (12.75%), Meat (11.77%), and Fresh Milk (10.68%).
In the non-food category, significant price increases were observed in Motor Vehicle Tax (168.79%), Personal Effects (33.24%), Electrical Appliances (17.63%), Water Supply (14.84%), Hosiery (14.41%), Household Textiles (14.30%), Medicines (14.04%), and Medical Tests (13.56%).
On a month-on-month basis, overall inflation fell by 0.2% in May 2025, following a 0.8% decline in April 2025 and a 3.2% decrease in May 2024.
Urban inflation rose to 3.5% year-on-year in May 2025, up from 0.5% in April 2025, but down from 14.3% in May 2024. On a monthly basis, urban inflation edged up by 0.1% in May 2025, compared to a 0.7% drop in the previous month and a 2.8% decline in May 2024.
In rural areas, year-on-year inflation increased to 3.4% in May 2025, reversing a 0.1% decline in April 2025 and down from 8.2% in May 2024. However, rural inflation fell 0.5% month-on-month in May 2025, following a 1.0% decline in April and a 3.9% decrease in May 2024.