FX.co ★ Pakistan Inflation Rate Lowest Since 1968

The annual inflation rate in Pakistan continued its downward trend for the sixth month in a row, declining to 0.3% in April 2025, down from 0.7% in March. This represents the lowest inflation rate recorded since August 1968, reflecting intensified deflation in the transport sector (-3.9%, a drop from -1.2% in March) and the housing and utilities sector (-2.6%, compared to -2.2%). Additionally, there was a notable deceleration in price increases for clothing and footwear (9.1%, down from 13.5%) as well as education (10.9% compared to 11.9%). Conversely, price growth was seen in categories such as alcoholic beverages and tobacco (7.9% vs. 7.5%), furnishings and household equipment maintenance (4.0% up from 3.7%), health (increasing to 14.2% from 13.8%), recreation and culture (7.8% vs. 7.7%), and miscellaneous goods and services (rising to 13.8% from 13.4%). Furthermore, the rate at which prices fell for food and non-alcoholic beverages eased slightly (-4.8% compared to -5.1%), particularly in perishable food items (-26.7%). On a month-to-month basis, consumer prices decreased by 0.8% in April 2025, marking a reversal of the 0.9% increase observed in the prior month.