Pakistan’s Annual Inflation Rises to 4.1% in July 2025

ISLAMABAD: According to the latest data released by the Pakistan Bureau of Statistics (PBS), Pakistan’s year-on-year inflation reached 4.1% in July 2025, marking a significant increase compared to 3.2% in June 2025, but notably down from 11.1% in July 2024.

📅 Monthly Inflation Snapshot

On a month-on-month basis, inflation rose by 2.9% in July 2025, compared to a marginal increase of 0.2% in June 2025, and 2.1% recorded in July 2024.

🏙️ Urban vs Rural Inflation Trends

• Urban CPI Inflation (YoY):
  Increased to 4.4% in July 2025 vs 3.0% in June 2025 and 13.2% in July 2024.

  • Monthly: Urban inflation rose 3.4% in July 2025 vs just 0.1% in June 2025.

• Rural CPI Inflation (YoY):
  Recorded at 3.5% in July 2025 compared to 3.6% last month and 8.1% a year earlier.

  • Monthly: Rose by 2.2%, up from 0.5% in June 2025.

🛒 SPI & WPI Inflation Trends

• Sensitive Price Index (SPI):

  • YoY: Decreased by 0.9% in July 2025 vs a 1.9% drop in June 2025 and a 15.7% spike in July 2024.

  • MoM: Increased 3.1%, showing a sharp contrast from 0.0% a month earlier.

• Wholesale Price Index (WPI):

  • YoY: Dropped 0.5% in July 2025, reversing from a 0.6% rise in June 2025 and 10.4% in July 2024.

  • MoM: Rose by 1.2%, double the 0.6% rise in June.

📌 What It Means

This shift in inflation data reflects moderate economic activity and could influence future monetary policy decisions by the State Bank of Pakistan. Consumers may also experience price hikes in essentials, especially in urban areas.

Stay tuned for more updates on economic trends, market shifts, and policy changes in Pakistan.