FD’s update: Oct inflation projected to stay elevated at 9.5-10.5pc

Business Recorder reports that the Finance Division expects Pakistan’s inflation to run at 9.5-10.5 percent in October 2026, calling the outlook a risk to the economy. The September reading was 10.3 percent, down from 11.1 percent in August, but the report warns that global energy costs, food availability and comparison effects could shape the months ahead.

The report connects rising import costs with pressure on transport, production and distribution, while noting that improved crop supplies could help moderate food prices. The Monetary Policy Committee raised the policy rate by 50 basis points to 12.0 percent from October 27, citing inflation risks, and the KSE-100 lost 7,006 points in September as higher energy costs clouded earnings and interest-rate expectations.