ISLAMABAD – Pakistan’s inflation rate saw a moderate rise in July 2025, clocking in at 4.1% year-on-year, according to fresh data released by the Pakistan Bureau of Statistics (PBS). The figure is slightly higher than 3.2% in June 2025, but significantly lower than 11.1% recorded in July 2024, highlighting a broader trend of cooling inflation over the past year.
On a month-on-month (MoM) basis, inflation increased by 2.9% in July, compared to just 0.2% in June, and 2.1% during the same month last year.
In urban areas, CPI inflation jumped to 4.4% YoY, up from 3.0% a month earlier, though down sharply from 13.2% in July 2024. The MoM urban inflation also saw a notable increase of 3.4%, compared to just 0.1% in June.
Meanwhile, rural inflation rose by 3.5% YoY, only slightly down from 3.6% in June, and a major drop from 8.1% in July last year. On a monthly basis, rural inflation rose 2.2%, matching last year’s figure for the same month.
The Sensitive Price Index (SPI)—which tracks the prices of essential items—recorded a 0.9% decline YoY, easing further from a 1.9% drop in June. However, MoM SPI inflation surged by 3.1%, up from a flat reading in the previous month.
As for Wholesale Price Index (WPI), it registered a 0.5% YoY decline, a turnaround from a 0.6% increase in June, and a sharp contrast to the 10.4% surge in July 2024. On MoM terms, WPI inflation rose by 1.2%, compared to 0.6% a month earlier.
These inflation trends come at a time when Pakistan is navigating complex economic reforms, with currency adjustments and energy pricing continuing to impact both consumer and wholesale prices.
