SPI Inflation Rises As Energy Costs Drive Prices Up

The Sensitive Price Indicator (SPI) registered a year-on-year increase of 7.04% for the week ending March 18, 2026, primarily driven by rising fuel and utility costs, despite observable declines in several food categories, as per data issued by the Pakistan Bureau of Statistics.

Energy-related costs remained the principal factor contributing to inflationary pressure. Diesel prices recorded an increase of nearly 30% compared to the corresponding period last year, while gas tariffs experienced a similar upward trend. Petrol prices also rose by over 25% on an annual basis, reflecting ongoing revisions in regulated energy pricing.

The escalation in energy costs has had a cascading effect on essential consumer goods. Wheat flour prices increased by approximately 26.5% year-on-year, while commodities such as beef, mutton, and powdered milk also exhibited price growth, indicating sustained pressure across key household consumption segments.

Nevertheless, the overall inflationary impact was partially mitigated by significant declines in perishable food items. Potato prices decreased by over 50% compared to the previous year, while chicken and egg prices fell by approximately 20% each. Additionally, pulses and sugar registered double-digit reductions, moderating the overall SPI increase.

On a week-on-week basis, the SPI recorded a marginal rise of 0.21%, primarily attributable to increases in vegetable and poultry prices. Tomato prices surged by 24.9% خلال the week, followed by chicken at 7.3% and bread at 1.1%. Prices of items such as energy savers, cigarettes, georgette fabric, and firewood also experienced upward adjustments.

Conversely, certain commodities posted weekly declines. Garlic prices fell by 4.8%, onions by 2.5%, while wheat flour and sugar recorded minor decreases. Liquefied petroleum gas (LPG) prices also declined by 2.7% خلال the same period.