Pakistan’s short-term inflation rises 3.87% YoY as wheat flour, gas charges drive index

Pakistan’s weekly inflation, measured by the Sensitive Price Indicator (SPI), increased 3.87% year-on-year for the week ended January 15, 2026, reflecting continued pressure on essential items despite easing prices for several vegetables and pulses.

The SPI tracks short-term price movements of 51 essential commodities across 50 markets in 17 cities. Official data showed the annual increase was led by wheat flour, which rose 34.90%, and gas charges for the lowest consumption quintile, up 29.85%, highlighting the impact on lower-income households.

Other notable year-on-year increases were recorded in eggs (20.85%), beef (12.83%), chilli powder (12.56%), sugar (10.43%), firewood (10.35%), gur (9.97%), powdered milk (9.90%), bananas (8.92%), printed lawn fabric (8.29%) and shirting (7.93%).

In contrast, several food items posted sharp annual declines. Potato prices fell 46.60%, onions 37.30%, garlic 35.91% and tomatoes 32.88%. Prices of pulse gram dropped 31.03%, while reductions were also noted in tea, pulses, diesel and petrol, indicating easing fuel costs compared with last year.

On a week-on-week basis, the SPI rose 0.25%. Tomato prices increased 27.64% during the week, followed by LPG at 7.03% and wheat flour at 3.26%. Smaller increases were seen in eggs, bananas and chilli powder, alongside marginal rises in select edible oils, fabrics and milk powder.

Weekly declines were recorded in potatoes (6.72%), onions (3.82%) and chicken (1.66%), with minor decreases also noted in pulses, rice, vegetable ghee and salt.

Income-wise analysis showed year-on-year inflation ranging from 3.16% for the highest-income group to 4.52% for lower- and middle-income segments, underscoring uneven cost-of-living pressures.

Of the 51 items tracked, prices increased for 13 items, declined for 13, and remained unchanged for 25, pointing to mixed price trends amid persistent inflationary pressures.