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Home Breaking News

Core inflation eases to 3pc in August 2025 in August 2025

byCT Report
02/09/2025
in Breaking News, Business, Latest News
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ISLAMABAD: Pakistan’s core inflation, measured by the Consumer Price Index (CPI), slowed to 3 per cent in August 2025 compared to 4.1 per cent in July 2025, the Pakistan Bureau of Statistics (PBS) reported.

The rate was significantly lower than the 9.6 per cent recorded in August 2024.

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On a month-on-month basis, CPI inflation declined by 0.6 per cent in August, following a sharp 2.9 per cent rise in July. In contrast, CPI had increased by 0.4 per cent in the same month last year.

Urban inflation rose 3.4 per cent year-on-year in August 2025, down from 4.4 per cent a month earlier and 11.7 per cent in August 2024. On a monthly basis, it fell 0.7 per cent compared to a 3.4 per cent increase in July and a 0.3 per cent rise in the same month last year.

Rural inflation stood at 2.4 per cent year-on-year in August 2025, easing from 3.5 per cent in July and 6.7 per cent a year earlier. On a monthly basis, rural inflation fell 0.5 per cent compared to a 2.2 per cent rise in July and a 0.6 per cent increase in August 2024.

The Sensitive Price Indicator (SPI) inflation climbed 2.6 per cent year-on-year in August, reversing a 0.9 per cent decline a month earlier. It had surged 10.8 per cent in August 2024. On a monthly basis, SPI rose 3.2 per cent compared to 3.1 per cent in July and a 0.3 per cent drop in August last year.

Wholesale Price Index (WPI) inflation fell 1.0 per cent year-on-year in August 2025, after a 0.5 per cent decline in July. In comparison, WPI had increased 6.3 per cent in August 2024. On a monthly basis, WPI slipped 0.2 per cent, against a 1.2 per cent rise in July and a 0.3 per cent increase in August 2024.

Core inflation, measured by non-food, non-energy items, also registered a slowdown. In urban areas, it rose 6.9 per cent year-on-year in August 2025, down slightly from 7.0 per cent in July and 10.2 per cent in August 2024. On a monthly basis, it increased 0.3 per cent, compared to 0.8 per cent in July and 0.4 per cent in August last year.

In rural areas, non-food, non-energy core inflation rose 7.8 per cent year-on-year in August 2025, easing from 8.1 per cent in July and 14.4 per cent in the same month last year. On a monthly basis, it increased 0.2 per cent, compared to 0.7 per cent in July and 0.6 per cent in August 2024.

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