Weekly inflation at three-year high due to costlier fuel – Henry’s Club

ISLAMABAD: Inflation as measured by the Sensitive Price Index (SPI) rose by 2.67 per cent over the previous week due to a rise in energy and food prices, according to data released by Pakistan’s Bureau of Statistics (PBS) on Saturday.

The increase in weekly inflation is the highest in 144 weeks or three years amid hike in petrol and diesel prices to revive the IMF Extended Funds Facility Program.

The year-on-year growth in SPI during the week under review stood at 23.98 per cent.

influence of growth Next week’s SPI calculation will show Rs 30 per liter of petrol and other petroleum products, going forward. It is expected that the government will increase the prices further next week.

The government in the budget has announced to revive the sales tax on petroleum products as well as levy petroleum development duty in a phased manner. Apart from this, Finance Minister Mifta Ismail also spoke in the press conference after the budget. Signal On further increase in fuel prices.

Miftah said he was raising petroleum product prices to reduce the subsidy element. He further said, “I am not taking money but it comes in the hands of the government.” However, he did not mention the inflationary impact of these measures.

The government has set an annual target of nominal inflation of 11.5 per cent for FY13.

Taking to social media platform Twitter, former Finance Minister Shaukat Tarin tweeted: “I see inflation moving towards 25/30 pc. PDM used to accuse us of 12PC. They are crushing the poor people of this country. should resign and call for fresh election]”.

Mr. Tarin once again reminded the PDM government that instead of passing the impact of rising oil prices to poor consumers, it should reduce refineries’ margins and try to get discounts on Russian oil and move to targeted subsidies . the wanted.

Soon after coming to power, the PML-N-led coalition government dissolved the dedicated National Price Monitoring Committee headed by the Finance Minister, while the provinces were represented by provincial chief secretaries. The committee meets every Monday to monitor the prices of essential food items. The data shows that the prices of 33 essential food items increased during the week under review.

Prices of potato 7.01 pc, tomato 6.15 pc, vegetable ghee 1 kg 3.62 pc, egg 3.30 pc, milk 2.51 pc, lentil 2.31 pc, vegetable ghee 2.5 kg and curd 2.02 pc each, onion 1.96 pc, cooked pulses increased. 1.66pc and cooking oil 5 liters 1.45pc.

In non-food items, the price of high speed diesel increased by 17.18 percent, petrol by 16.61 percent. On the other hand, prices of five commodities declined during the week, including Chicken 10.53 pc, Garlic 0.43 pc, Wheat Flour 0.22 pc, LPG 0.12 pc and Banana 0.07 pc.

The SPI increased by 1.72 per cent for the lowest income group (ie people earning less than Rs 17,732 per month) and 2.99 per cent for the group with monthly income above Rs 44,175.

Of the 51 items that were surveyed, the prices of 33 items increased, the prices of five items decreased, while the prices of 13 items remained constant.

Published in Dawn, June 12, 2022