Overview
- Official Pakistan Bureau of Statistics data show headline consumer inflation fell to 9.6% year‑on‑year in October 2026 while monthly prices rose 1.1%.
- The October slowdown was driven mainly by weaker increases in perishable food items, with urban and rural food inflation both declining from September levels.
- Non‑food costs remain a major source of pressure as electricity charges rose about 8.5% in October and urban transport saw large monthly increases.
- Average inflation for July–October of the 2026–27 fiscal year stands at 10.05%, far higher than the 4.79% recorded in the same period last year.
- Analysts warn that sustained high global oil prices and further domestic energy or transport cost increases could keep FY27 inflation above 9% and squeeze household real incomes.