Economy

Weekly inflation skyrockets to decade high

People buying vegetables from vendors who standing in flooded road at Unit 11 Latifabad after heavy rain in the city. — INP/File
  • Average prices of 31 essential items rise during the outgoing week.
  • Country starts to embrace worst impact of the catastrophic floods.
  • SPI is computed weekly to assess price movements of commodities.

KARACHI: The weekly inflation, based on the sensitive price index (SPI) rate steeply rose to 45.5% year-on-year — the highest level in a decade — due to a surge in prices of vegetables, as the country also starts to embrace the worst impact of the catastrophic floods in the country that have affected over 33 million people.

The Pakistan Bureau of Statistics (PBS) on Friday reported that the SPI-based inflation rate jumped to 1.31% during the week ended September 1 compared to last week. 

It was also the third consecutive week that the inflation rate constantly increased, largely due to supply chain disruption amid floods that have sent the price of essential goods skyrocketing.

Data released by the Pakistan Bureau of Statistics (PBS) showed that the average prices of 31 items essential items, onions, tomatoes, eggs and other items rose during the outgoing week.

Prices of three items, including vegetable ghee, have declined. Meanwhile, the rates for 17 essential goods remained unchanged.

The combined income group index went up from 219.97 points during the week that ended on September 1 to 222.85 points in the week under review.

The SPI for the lowest income group increased by 1.63% compared to the previous week. The index for the group stood at 229.15 points against 225.48 points in the previous week.

On weekly basis prices of following essential items rose:

Food items:

  • Onions — 42.17%
  • Tomatoes — 13.25%
  • Pulse Moong (Washed) — 7.94%
  • Potatoes — 6.97%
  • Eggs — 3.84%
  • Chicken — 3.25%
  • Wheat flour — 1.49%

Non-food items:

  • LPG — 4.45%
  • Diesel — 1.19%
  • Petrol — 0.88%

On weekly basis prices of following essential items decreased:

Food items:

  • Vegetable ghee (1kg) —1.18%
  • Vegetable Ghee (2.5kg) — 0.41%
  • Pulse Masoor (washed) — 0.34%

Torrential rains and floods have put huge pressure on the masses as they are deprived of basic necessities amid the disruption of agricultural produce and supply chains.

SPI is computed on weekly basis to assess the price movements of essential commodities at a shorter interval of time to review the price situation in the country. It comprises 51 essential items and the prices are collected from 50 markets in 17 cities of the country.

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