Weekly inflation surges 8.24pc on costly petroleum

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A file photo showing a food market. — AFP
A file photo showing a food market. — AFP

ISLAMABAD: Short-term inflation, measured through the Sensitive Price Index (SPI), increased by 8.24 per cent year-on-year in the week ending March 26, mainly driven by higher retail prices of petroleum products in the domestic market.

Short-term inflation has persistently risen for the 33rd straight week, indicating ongoing pressure on household budgets. The increase was also mainly driven by a sharp rise in the prices of vegetables and other perishable food items.

On a week-on-week basis, the SPI recorded a marginal increase of 0.97pc compared with the previous week, according to official data released on Friday.

Short-term inflation is expected to rise further due to the ongoing conflict in the Middle East, which is disrupting the supply of essential commodities, particularly petroleum products.

The uncertainty in global energy markets has raised concerns about higher import costs and supply constraints, factors that could put additional pressure on domestic prices.

Household budgets face severe pressures as essentials get pricier

Weekly inflation previously peaked at a historic 48.35pc year-on-year in early May 2023. It then declined in the following years. The recent fluctuations in sugar, edible oil, pulses, and meat prices indicate that volatility in essential food commodities continues to influence short-term inflation trends, with consumers experiencing recurring cycles of price increases.

The items, whose prices increased the most over the previous week included onions (18.10pc), tomatoes (11.38pc), LPG (10.05pc), chicken (8.70pc), potatoes (8.11pc), electricity charges for Q1 (6.11pc), eggs (3.54pc), garlic (3.23pc), mutton (2.55pc), beef (1.52pc), georgette (0.38pc) and firewood (0.34pc).

The items whose prices saw a decline week-on-week included bananas (4.50pc), wheat flour (1pc), sugar (0.29pc), gur (0.20pc) and pulse moong and rice Irri-6/9 (0.17pc) each.

However, on an annual basis, the items whose prices increased the most LPG (34.73pc), diesel (29.94pc), gas charges for Q1 (29.85pc), wheat flour (25.76pc), petrol (25.75pc), onions (25.07pc), chilies powder (15.20pc), beef (13.08pc), mutton (12.41pc), powdered milk (10.10pc), rice basmati broken (6.51pc) and gur (6.31pc).

In contrast, the prices of potatoes dropped 45.71pc, followed by pulse gram (17.54pc), eggs (13.63pc), garlic (12.92pc), salt powder (12.55pc), chicken (11.94pc), pulse masoor (11.62pc) and sugar (11.34pc).

The index, consisting of 51 items gathered from 50 markets across 17 cities, is calculated weekly to monitor the prices of essential goods and services. Data indicated that the prices of 23 items rose, six fell, and 22 remained steady compared to the previous week.

Published in Dawn, March 28th, 2026

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