Pakistan inflation eases to 11.1% in June as energy and food prices cool

Lower energy costs drive the deceleration, supporting the government's revised 7.5% fiscal target despite persistent headline pressure.

By Handelsavisen Newsroom · Automated 2026-07-01 12:27 UTC · 1 min read

Pakistan's consumer price inflation slowed to 11.1% year-on-year in June, down from 11.7% in May, driven by moderating prices in the energy and food baskets.

The Pakistan Bureau of Statistics reported the decline, marking a continued easing in cost pressures after months of elevated volatility.

5% for the current fiscal year, signaling confidence that the current trajectory will continue to normalize.

The deceleration is primarily attributed to lower energy costs, which have provided relief to household budgets and reduced input costs for businesses.

Food prices also contributed to the slowdown, reflecting improved supply conditions in key agricultural categories.

This trend aligns with broader regional patterns where energy price corrections have helped temper inflationary spikes.

The government has projected a revised inflation target of 7.5% for the current fiscal year, signaling confidence that the current trajectory will continue to normalize.