KARACHI: The prices of textbooks have increased by 95 per cent in a year, making it more challenging for the low-income segment of society to cope with high inflation of 30pc.

The State Bank of Pakistan’s latest Inflation Monitor, issued on Friday, shows that the prices of textbooks increased by 94.7pc from November 2022.

Publishing houses argue that the import of paper has become too costly due to a sharp increase in dollar prices over the past year.

However, the market is flooded with imported textbooks. Almost all private schools prefer expensive imported books rather than having them published domestically. According to an official report, over 20 million children are out of school, and inflated book prices could exacerbate this number.

Costly wheat, rice, sugar cripple common people’s economy

The SBP report also shows that during this period, gas prices changed by 519pc, compared to the zero per cent change noted in November 2022. The gas price hike is ranked at the top of the list showing changes in terms of percentage. This increase sharply elevated the weighted contribution of gas to 20.98pc in the Consumer Price Index (CPI), while its weight in the CPI is just 1.08pc.

The weighted contribution is estimated by multiplying the weights by the price change of an item; this is then reported as a share in the year-on-year change in Urban CPI, which stands at 30.4pc in November.

Even more concerning is the rise in wheat flour prices, which increased by 63.5pc in Nov 2023 compared to 35.5pc in the same month the previous year. Additionally, rice prices jumped by 58.3pc in Nov 2023, compared to an increase of 39.7pc last year.

Despite showing a decline of 9.9pc in Nov 2022, sugar prices sharply increased by 49.9pc in Nov 2023. The record increases in wheat, rice, and sugar prices are enough to cripple the economy of common people, while the fuel (gas) price hike has already disrupted household budgets.

Credible published reports suggest that 40pc of Pakistanis are living below the poverty line, meaning at least 100m people are facing this situation. In its previous monetary policy, the SBP anticipated a downward trend in inflation for the remaining months of the current fiscal year. However, in November, the CPI increased, and weekly inflation witnessed a surge of 42.7pc, ending on Dec 7.

Published in Dawn, December 10th, 2023