The SPI now stands at 279.89 points, up from the previous week's 277.21 points.
ISLAMABAD: (UrduPoint/Pakistan Point News-Sept 9th, 2023) Sensitive price Indicator (SPI) has risen for the seventh consecutive week due to increased food and fuel prices, according to recent data from the Pakistan Bureau of Statistics.
The SPI now stands at 279.89 points, up from the previous week's 277.21 points.
This increase is attributed to a 17% surge in tomato prices, along with significant hikes in masoor pulse (10.87%), sugar (6.73%), and garlic (4.66%).
On the non-food front, diesel prices have risen by 6.28%, LPG by 5.19%, and petrol by 5.12%.
Year-on-year, the SPI has increased by 26.32%, primarily driven by soaring prices of wheat flour (117.71%), gas (108.38%), sugar (107.36%), cigarettes (100.16%), rice basmati broken (90.66%), tea Lipton (88.41%), chilies powder (86.05%), rice irri-6/9 (84.18%), gur (72.83%), salt powdered (52.07%), powdered milk (42.45%), and bread (42.33%).
The Ministry of Finance recently acknowledged that the substantial rise in fuel prices and power tariffs in August would lead to increased inflation in the coming months. This reflects the consequences of policy decisions influenced by the International Monetary Fund (IMF), negatively impacting the lives of many in Pakistan.
This admission also raises concerns about the possibility of further rate hikes under the tight monetary policy enforced by the State Bank of Pakistan, as recommended by the IMF. In addition, a 'Fiscal Risk Statement' from the Ministry of Finance highlights Pakistan's vulnerability to key macroeconomic variables, including low GDP growth, high interest rates, surging inflation, and a depreciating exchange rate.
