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Pakistan’s inflation climbed to its highest level in a year, reaching 6.2% in October 2025, compared to 5.6% in September, according to the Pakistan Bureau of Statistics (PBS). Analysts at Arif Habib Limited (AHL) confirmed this as the sharpest annual rise since October 2024, signaling renewed inflationary pressure amid fluctuating global commodity prices and domestic market adjustments.
The increase reflects a month-on-month rise of 1.8%, slightly lower than September’s 2.0%, yet enough to affect essential goods pricing and household budgets. Economists warn that persistent inflation could challenge the government’s stabilization efforts and put pressure on consumer spending.
| Category | YoY Change (Oct 2025) | MoM Change (Oct 2025) | Previous Month (Sep 2025) |
| CPI Urban | 6.0% | 1.5% | 5.5% |
| CPI Rural | 6.6% | 2.3% | 5.8% |
| SPI | 4.8% | 0.9% | 4.5% |
| WPI | 1.1% | 0.5% | 0.6% |
| Core (Urban NFNE) | 7.5% | 1.1% | 7.0% |
| Core (Rural NFNE) | 8.4% | 1.3% | 7.8% |
Economist Farhan Rasheed noted,
“While inflation remains lower than last year’s peak, the steady upward trend suggests that energy costs and supply constraints are beginning to feed back into prices.”
The report also showed core inflation excluding food and energy rising notably in both urban and rural regions, pointing to broader cost pressures across sectors. With food, utilities, and transport costs driving the hike, policymakers may face renewed calls for monetary tightening or subsidy interventions.
Experts suggest that with upcoming winter energy demands and continued rupee volatility, inflation could remain elevated in the short term unless global commodity prices ease.
