Short-term inflation surges past 10pc

Dawn reported that short-term inflation, measured by the Sensitive Price Index (SPI), reached 10.64 per cent on a year-on-year basis for the week ending September 17. Higher energy costs were the main driver, and the figures were published by the official statistics office on Friday. On a weekly comparison, the index moved up 0.49 per cent, the Pakistan Bureau of Statistics said.

Petrol, diesel, LPG and wheat flour posted the sharpest annual gains, with petrol up 48 per cent, diesel up 54.21 per cent, LPG up 60.42 per cent and wheat flour up 33.27 per cent. The government, reluctant to cut the petroleum levy, is lifting petrol and diesel prices every day, and transport costs have fed into essential foods such as onions and other vegetables. The index has now climbed for 73 straight weeks, which points to lasting strain on household budgets.

Of the 51 items tracked across 50 markets in 17 cities, 19 rose, 9 fell and 23 stayed stable compared with the previous week. Onions showed the largest annual increase at 117.77 per cent, while potatoes fell 35.31 per cent over the same period. Because the report links fuel price increases to the petroleum levy, government fuel pricing decisions remain central to the inflation picture that investors follow.