Pakistan Inflation July 2025
Inflation in Pakistan Rises to 4.1% in July Amid Fuel and Food Price Hikes Islamabad – August 2025: Consumer inflation in Pakistan accelerated to 4.1% year-on-year in July, marking a notable rise from 3.2% in June. The increase, reported by the Pakistan Bureau of Statistics (PBS) , is largely driven by higher costs of food items, fuels, and medicines . Monthly Inflation Trends The PBS data revealed that consumer price inflation on a month-to-month basis climbed by 2.9% in July. This surge came despite earlier projections from the Finance Ministry , which had expected inflation to remain between 3.5% and 4.5% due to improved supply conditions and previously stable prices. State Bank’s Outlook on Inflation The State Bank of Pakistan (SBP) recently highlighted concerns over a worsening inflation outlook. In its latest monetary policy announcement, the central bank decided to keep the key interest rate unchanged at 11% , emphasizing the need to maintain a positive real policy r...