Tag: July 2024

  • Pakistan’s yearly inflation rate falls to 11.1 per cent in July 2024

    Pakistan’s yearly inflation rate falls to 11.1 per cent in July 2024

    In July 2024, Pakistan’s Consumer Price Index (CPI)-based inflation decreased to 11.1 per cent year-on-year, down from 12.6 per cent in June 2024 and a substantial 28.3 per cent in July 2023, according to data from the Pakistan Bureau of Statistics (PBS).

    On a month-on-month basis, the CPI inflation rose by 2.1 per cent in July 2024, a significant increase from the 0.5 per cent recorded in June 2024 but a slower rise compared to the 3.5 per cent increase in July 2023.

    The data further reveals that urban CPI inflation climbed to 13.2 per cent year-on-year in July 2024, up from 14.9 per cent in June 2024 and down from 26.3 per cent in July 2023. Month-on-month, urban CPI inflation increased by 2.0 per cent, up from 0.6 per cent in the previous month but lower than the 3.6 per cent recorded in July 2023.

    For rural areas, CPI inflation rose by 8.1 per cent year-on-year in July 2024, compared to 9.3 per cent in June 2024 and 31.3 per cent in July 2023. On a month-on-month basis, rural CPI inflation increased by 2.2 per cent, a jump from 0.3 per cent in June 2024 but slightly lower than the 3.3 per cent rise in July 2023.

    The Sensitive Price Indicator (SPI) inflation saw a year-on-year increase of 15.7 per cent in July 2024, down from 16.6 per cent in June 2024 and 29.3 per cent in July 2023. Month-on-month, SPI inflation rose by 2.0 per cent, up from 1.3 per cent in June 2024 and slightly lower than the 2.8 per cent increase in July 2023.

    The Wholesale Price Index (WPI) inflation was recorded at 10.4 per cent year-on-year in July 2024, compared to 10.6 per cent in the previous month and 23.1 per cent in July 2023. On a month-on-month basis, WPI inflation rose by 2.3 per cent, up from 0.4 per cent in June 2024 and similar to the 2.5 per cent rise in July 2023.

  • NEPRA hikes basic electricity tariff by Rs5.72 to Rs35.50 per unit

    NEPRA hikes basic electricity tariff by Rs5.72 to Rs35.50 per unit

    The National Electric Power Regulatory Authority (NEPRA) has announced an increase in the basic electricity tariff by Rs5.72 per unit, effective from July 1, 2024. This hike will raise the current base tariff from Rs29.78 to Rs35.50 per unit.

    The capacity charges, which form a significant portion of the base price, amount to Rs18.10 per unit, constituting 51 per cent of the total cost. Consequently, the total capacity payment is projected to reach approximately Rs2.091 trillion for the fiscal year 2025.

    This proposal has been submitted to the federal government for final approval. The government will decide whether to implement the increase immediately or phase it in over time.

    It is important to note that in the current fiscal year (FY24), the electricity tariff was increased by Rs7.50 per unit, while in the previous fiscal year (FY23), the government implemented an increase of Rs7.91 per unit.

    In a contrasting move, Prime Minister Shehbaz Sharif announced on Friday a substantial reduction of Rs10.69 per unit in the electricity tariff for the industrial sector. This reduction is part of the Prime Minister’s historic power package aimed at bolstering the country’s industrial sector.

    Additionally, the petrol price has been reduced for the fourth consecutive time, decreasing by Rs10.20 to Rs258.16 per litre.