Pakistan’s CPI inflation eases to 10.3% in Sept 2026
KARACHI: Pakistan’s headline inflation eased to 10.3 per cent year-on-year in September 2026, down from 11.1% in August, according to the latest data released by Pakistan Bureau of Statistic (PBS) here on Thursday.
However, on a month-on-month basis, the Consumer Price Index (CPI) increased by 1.3 per cent in September, compared with a 1.2% rise in August and 2.1% in September 2025.
The latest figures show that inflation remained significantly higher than the 5.8 per cent recorded in September 2025, despite the decline from the previous month.
According to the data, urban CPI inflation rose by 10.1 per cent year-on-year in September, compared with 10.4 per cent in August and 5.7 per cent in September 2025. On a month-on-month basis, urban inflation increased by 1.3 per cent in September.
Meanwhile, rural CPI inflation stood at 10.5 per cent year-on-year in September, easing from 12.2 per cent in August but remaining well above the 5.9% recorded in September 2025.
Rural inflation increased by 1.2 per cent month-on-month in September, compared with a 1.6 per cent increase in August and 2.8 per cent in September 2025.
The Sensitive Price Indicator (SPI), which tracks prices of essential consumer items, increased by 8.4 per cent year-on-year in September, compared with 9.5 per cent in August and 4.5 per cent in September 2025.
On a monthly basis, SPI inflation rose by 1.0 per cent in September, compared with a 0.9 per cent increase in August and 2 per cent in September 2025.
Meanwhile, Wholesale Price Index (WPI) inflation accelerated sharply to 13.3 per cent year-on-year in September from 11.8 per cent in August and just 0.6 per cent in September 2025. On a month-on-month basis, WPI increased by 1.9 per cent in September, compared with a 2.0% rise in August and 0.5% in September 2025.
The data indicate that while headline consumer inflation moderated in September, wholesale price pressures remained significantly elevated, potentially creating additional cost pressures for businesses and industries.
The latest inflation figures come as the government and the International Monetary Fund continue to monitor price pressures, economic activity and the impact of energy and commodity prices on Pakistan’s macroeconomic outlook.
Pakistan’s inflation trend has moved upward mainly because of higher energy, transport and input costs, which feed into prices across the economy. The sharp rise in Wholesale Price Index (WPI) inflation to 13.3% in September 2026, from 11.8% in August, suggests that producers and businesses are facing increased costs.
Higher fuel and electricity prices, along with increases in imported commodities and raw materials, can gradually pass through to consumer prices.
At the same time, the 1.3% month-on-month rise in CPI indicates that prices are still increasing within the economy. The combination of higher production costs, energy and commodity prices, seasonal pressures and the low base from last year is therefore keeping inflation elevated.
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