ISLAMABAD: Annual consumer inflation remained four per cent in September on the back of an increase in the prices of petroleum and perishable products.

Main inflation, measured through the Consumer Price Index (CPI), has been rising steadily since July, according to figures released by the Pakistan Bureau of Statistics (PBS) on Monday.

The CPI tracks prices of around 480 commodities every month in urban centres across the country.

Inflation rose 0.8pc month-on-month in September compared to 0.2pc in the preceding month and 0.2pc in September 2016.

The annual inflation target for the current fiscal year is 6pc.

Average annual inflation in July-September stood at 3.39pc against 3.86pc in the same period a year ago.

According to an official of the finance ministry, the uptick in inflation is due to an increase in the prices of oil and other international commodities along with a rise in domestic demand.

With 37.47pc weight in the CPI basket, the food group showed an increase of 2.4pc in September. On a month-on-month basis, food inflation was 1.3pc in September due to an increase of 12.47pc in the prices of perishable products.

In September, the price of onion rose 98.33pc, tomatoes 58.46pc, fresh vegetables 10.16pc, eggs 4pc, wheat 2.1pc and gram whole 1.68pc.

Core inflation, measured by excluding the volatile food and energy prices, was recorded at 5.4pc in September, up 0.1pc from the preceding month. The gradual build-up of domestic demand is evident in rising core inflation. Of 89 commodity groups of the CPI, it covers the price movement of 43 items.

Non-food inflation was recorded at 4.9pc in September, an increase of 0.2pc over the preceding month. Crude oil prices increased in the past few months. However, limited impact of rising global prices was passed on to consumers in Pakistan.

Education and health indices rose 8.27pc and 11.41pc, respectively, in September on an annual basis. A decline of 16.29pc was witnessed in the index of alcoholic beverages and tobacco. The index of clothing and footwear rose 3.93pc and that of housing, water, electricity, gas and other fuels 5.32pc.

Meanwhile, the Sensitive Price Index edged down 0.48pc and the Wholesale Price Index rose 1.1pc in July-September.

Published in Dawn, October 3rd, 2017