INP-WealthPk
Pakistan's SPI weekly inflation rises by 45.50%
September 08, 2022
Irfan Ahmed
The Sensitive Price Indicator (SPI) based on inflation for the week ending September 1 witnessed an increase of 45.50% for the combined consumption group, compared to the corresponding week of the last year, WealthPK reported.
According to economic experts, Pakistan is experiencing high inflation rate due to higher costs of harvesting, transporting, and processing food, due to massive depreciation of the rupee and higher oil prices.
According to the Pakistan Bureau of Statistics (PBS), an increase was observed in the prices of food items including Onions (240.15%), Tomatoes (219.99%), Pulse Masoor (82.44%), Cooking Oil 5 litre tin (70.60%), Mustard Oil (67.50%), Vegetable Ghee 2.5 kg tin (63.70%), Vegetable Ghee 1 kg (61.16%), Pulse Gram (58.54%), Pulse Mash (49.36%) and non-food items including Hi-Speed Diesel (114.08%), Petrol Super (98.73%), Washing Soap (64.81%), Electricity (63.03%), and LPG (45.23%).
On the other hand, a major decrease was observed in the prices of Chilli Powder 200 gm (43.42%), Sugar (18.20%) and Gur (1.75%).
According to the PBS, the combined index was at 222.85 points on 1st September 2022, compared to 219.97 points on 25th August, 2022, while the index was recorded at 153.16 points on 2nd September, 2021.
During the week, out of the 51 items, prices of 31 (60.79%) items increased, 3 (05.88%) items decreased and 17 (33.33%) items remained stable.
Onions were one of the key commodities that increased the weekly inflation, with prices increasing by 42.17% on a week-on-week (WoW) basis.
Meanwhile, the SPI for the combined consumption group in the week under review witnessed an increase of 1.31%, compared to the previous week.
Food commodities that saw an increase in prices included Tomatoes (13.25%), Pulse Moong (7.94%), Potatoes (6.97%), Eggs (3.84%), Chicken (3.25%), Pulse Gram (2.89%), Wheat Flour (1.49%), Pulse Mash (1.26%), Bread (1.22%), and non-food items, LPG (4.45%), Diesel (1.19%) and Petrol (0.88%).
On the other hand, a decrease was observed in the prices of Vegetable Ghee 1kg (0.76%), Vegetable Ghee 2.5kg (0.41%) and Pulse Masoor (0.34%).
Alternatively, the prices of 17 items remained stable including, Beef with Bone (average quality), Salt Powdered (National/Shan), Chilli Powder (National), Tea (Lipton), Cooked Beef at an average hotel, Tea Prepared (ordinary), Long Cloth 57 inches (Gul Ahmed/Al Karam), Shirting (average quality), Lawn Printed (Gul Ahmed/Al Karam), Georgette (average quality), Gents Sandal (Bata), Gents Sponge Chappal (Bata), Ladies Sandal (Bata), Electricity, Gas charges up to 3.3719 Metric Million British Thermal Unit (MMBTU), Energy Saver Bulbs (Philips) and Telephone Call Charges.
The SPI for the lowest consumption group up to Rs17,732 observed an increase of 1.63% and went up to 229.15 points this week from 225.48 points last week. On a yearly basis, analysis of SPI change across different income segments showed that SPI increased across all quintiles ranging between 38.73% and 46.10%.
Yearly inflation for the group with monthly income from Rs29,518 to Rs44,175 (Q4) increased by 42.81%, while the highest income group with monthly income above Rs44,175 recorded an increase of 46.10%.
In the meantime, weekly inflation for the group with monthly income from Rs22,889 to 29,517 (Q3) surged by 1.43%.
In addition, there is a mild price difference between the prices of Utility Stores Corporation and the open market (1st September 2022). The Utility Stores’ prices are comparatively less than the open market. The Utility Stores Corporation is giving a special subsidy to consumers on pulses, flour, sugar, rice, and ghee under the government’s relief package.
The government has reduced the prices of Utility Stores’ commodities on a variety of items, including Flour 20kg by Rs446.74, Tota Basmati Rice by Rs36.98 per kg, Daal Masoor by Rs16.75 per kg, Chana by Rs20.95 per kg, Sugar by Rs17.86 per kg, Ghee (Manpasand) by Rs150.29 per kg, Ghee (Handi) by Rs 114.47 per kg, White Gram by Rs9.00, Super Basmati Rice by Rs83.24 per kg and Rice Sella by Rs76.97 per kg.
Source: Pakistan Bureau of Statistics
Credit : Independent News Pakistan-WealthPk
