Inflation tightens grip as weekly SPI surges by 30.68%

WEB DESK: Inflation woes continue to mount for the already burdened masses in Pakistan as the Weekly Sensitive Price Indicator (SPI) for the Combined Group witnessed a slight uptick of 0.04 per cent WoW during the week ending February 22, 2024.

This development comes as the SPI soared by 30.68 per cent YoY compared to the corresponding period last year, according to data released by the Pakistan Bureau of Statistics (PBS).

The Combined Index, standing at 315.31 on February 22, 2024, compared to 315.18 on February 15, 2024, reflects the persistent inflationary pressures.

A year ago, on February 23, 2023, the index was recorded at 241.29, underscoring the significant surge in prices.

Breaking down the data for 51 items, the average prices of 23 items increased, 8 items decreased, and 20 items remained stable.

Notable increases during the week were observed in tomatoes (22.71 per cent), bananas (7.40 per cent), diesel (3.02 per cent), chicken (1.22 per cent), and petrol (1.00 per cent).

Conversely, onions (14.42 per cent), eggs (11.19 per cent), LPG (1.82 per cent), cooking oil (5 litres) (0.75 per cent), and wheat flour (0.36 per cent) experienced substantial decreases.

The impact of inflation resonated differently across income groups, as reflected in the weekly SPI percentage change.

All three quantiles witnessed a decrease, with the lowest income group experiencing a weekly decline of -0.08 per cent, while the highest income group recorded a rise of 0.09 per cent.

On an annual basis, the analysis of SPI change across different income segments indicated a uniform increase ranging between 25.53 per cent and 35.39 per cent.

The lowest income group saw a yearly SPI increase of 25.53 per cent, while the highest income group recorded an increase of 28.22 per cent.

Adding to the concerns, the average price of Sona urea surged to Rs4,928 per 50 kg bag, marking a 9.19 per cent increase compared to last week and a substantial 69.14 per cent higher than the prices recorded last year.

The continuous uptrend in these essential commodities poses significant challenges for the public, warranting close attention and comprehensive economic strategies.

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