KARACHI: The Economic Survey 2016/2017 released on Thursday said that increasing oil and commodity prices are remain concerns for inflationary pressure.
It said that increasing oil and commodity prices remains a concern. Global commodity and oil prices are expected to move in upward direction, which will be affecting domestic inflation.
However, given the increase in agriculture production and sufficient food supplies, stable exchange rate, effective monetary policy, inflation is expected to remain below the target.
The current year started with inflation at 4.1 percent in July 2016, rose to 4.9 percent in March 2017 and then slowed down to 4.8 percent in April 2017. On average during Jul-April FY 2017, it recorded at 4.1 percent.
The target for current year is 6.0 percent, the present trend suggests that it will remain below the target. The uptick in inflation is due to global revival of international commodity and oil prices, along with rise in domestic demand due to pick up of economic activities.
