Pakistan’s Finance Ministry expects inflation to ease to between 1.5% and 2% year-on-year in May, before picking up to 3%-4% in June, according to the ministry’s monthly economic report released on Thursday.
“Exports and remittances are expected to maintain their upward trend in the coming months keeping the current account within manageable range,” the ministry said.
Pakistan’s average inflation in the fiscal year ending June 2025 is expected to be in the range of 5.5%-7.5%, the central bank said in its half-yearly report last month.
The Consumer Price Index (CPI) inflation clocked in at 0.3% on a year-on-year basis in April 2025, a reading below that of March 2025 when it had stood at 0.7%.
According to brokerage house JS Global, Pakistan’s headline inflation is expected to inch up to 2.7% in May.
“Pakistan’s Consumer Price Index (CPI) is expected to clock in at 2.7% for May. The base effect is now fading, signalling a return to normalised price trends. This is likely to take 11MFY25 average inflation to 4.7%, down from 11MFY24 average of 24.9%,” said JS Global.
