The weekly inflation rate has increased the most since the change in the base year for calculating the SPI. The prices of petrol and diesel were increased by Rs84 and Rs115 per liter, respectively, and electricity rates were increased by 50%.
ISLAMABAD: According to data provided by the Pakistan Bureau of Statistics (PBS) on Friday, the Sensitive Price Index (SPI) jumped by 3.38 percent from the previous week. This is primarily due to the largest increase in petroleum product prices ever recorded.
During the week under review, the SPI increased by 27.82 percent year-over-year.
On Twitter, former finance minister Shaukat Tarin stated, “Despite increasing petrol/diesel prices by Rs84/115 per liter and power/electricity costs by 50 percent, you have been unable to satisfy IMF”. The most recent economic report issued by your government confirms our robust economic success. So quit blaming us and improve the performance of your government.
In another tweet, Mr. Tarin stated, “So far, the increase in gasoline/diesel/electricity prices has had an impact on households. “Don’t know how they’ll handle this and the impending inflation tsunami”. Since March 31, 2022, the baseline monthly budget for a family of four has increased to roughly Rs13,000. His tweet included a graph depicting this increase.
In the basket, Mr. Tarin included the cost of gasoline for his motorcycle, the energy bill, vegetarian food, school fees, etc. He stated, “I am concerned about how a poor man in Pakistan would survive under these circumstances.
The administration has previously indicated in the budget that it will gradually reinstate the sales tax on petroleum goods and implement a petroleum development levy.
In the budget documents, the government anticipated a modest inflationary annual target of 11.5% for FY23. However, the Federal Board of Revenue, which utilizes inflation as one of the methods to collect additional tax revenue from customers, has projected inflation to be 12.8%.
Mr. Tarin predicted that yearly inflation will range between 25% and 30%.
Soon after assuming office, the new administration disbanded the National Price Monitoring Committee. The National Price Monitoring Committee was directed by the finance minister and comprised of provincial chief secretaries. Every Monday, the group meets to check the pricing of vital food goods.
The costs of 36 essential food items increased during the week under review, compared to the previous week, according to PBS data.
The price of chicken increased 12.10 percent, potatoes 6.89 percent, cooked daal 5.90 percent, pulse gram 5.29 percent, cooked beef 5.19 percent, vegetable ghee 4.95 percent, plain bread 4.37 percent, pulse masoor 3.50 percent, cooking oil 2.87 percent, pulse mash 1.7 percent, and beef with bone 1.50 percent. Other food commodities, including rice, lentils, and milk, also saw price increases.
High-speed diesel grew in price by 28.91 percent. Gents sponge chappal by 26.76 percent. Gents sandal by 15.40 percent. Gasoline by 11.43 percent, electricity charges by 6.60 percent, and cigarettes by 6.27 percent.
The SPI rose 2.85% for the lowest income group (those earning less than Rs17,732 per month) and 3.10% for those earning more than Rs44,175 per month.
