KARACHI: Government decision to cut POL prices in early November by Rs9.43/litre brought CPI inflation rate down at the 11 years low to 3.96% in the month from 5.82 percent in the previous month, Pakistan Bureau of Statistics (PBS) reported on Monday. It is the lowest rate since October 2003 due to a fall in prices of transport and fresh food.
According to the details, Consumer Price Index (CPI) inflation, general, decreased by 3.96 percent on year-on-year (YoY) basis in November 2014 as compared to 5.8 percent in the previous month and by 10.9 percent in November 2013. On month-on-month basis (MoM), it decreased by 0.5 percent in November 2014 as compared to increase of 0.2 percent in the previous month and 1.3 percent in November 2013.
As a result, the average CPI for the first five months (July-November) of Fiscal Year 2014-15 (FY15) slid to 6.45 percent as against the average CPI of 8.84 percent in the same period of FY14.
As a result of declining international oil prices and cut in petroleum prices by Pakistan’s government in November 2014, transport index declined by 6.87% MoM due to reduction in prices of Petrol and Diesel by Rs 10/liter and Rs 6/liter respectively during November 2014.
Core inflation measured by non-food non-energy CPI (Core NFNE) increased by 6.9 percent on (YoY) basis in November 2014 as compared to 7.8 percent in the previous month and by 8.5 percent in November 2013. On (MoM) basis, it decreased by 0.5 percent in November 2014 as compared to increase of 0.7 percent in the previous month and by 0.3 percent in November 2013.
Core inflation, measured by 20 percent weighted trimmed mean CPI (Core Trimmed), increased by 5.3 percent on (YoY) basis in November 2014 as compared to 6.0 percent in the previous month and by 9.2 percent in November 2013. On (MoM) basis, it increased by 0.1 percent in November 2014 as compared to 0.4 percent in the previous month and 0.4 percent in November 2013.
Sensitive Price Index (SPI) inflation on YoY basis decreased by 0.3 percent in November 2014 as compared to increase of 4.1 percent a month earlier and 14.1 percent in November 2013. On MoM basis, it is decreased by 1.1 percent in November 2014 as compared to decrease of 0.03 percent a month earlier and increased by 3.2 percent in November 2013.
