Pakistan’s headline inflation rose to 6.2% in October 2025 compared to the same month last year, according to the Pakistan Bureau of Statistics (PBS). This figure is slightly above the Ministry of Finance’s earlier estimate of 5-6% and signals rising costs for consumers nationwide.
The Consumer Price Index (CPI) was 5.6% in September 2025 and stood at 6.9% in October 2024. On a month-to-month basis, prices increased by 1.8% in October 2025, slightly below September’s 2% rise but higher than the 1.2% increase in October 2024. Experts at Optimus Capital Management said this is the highest monthly inflation since November 2024.
Urban areas saw CPI inflation rise by 6% year-on-year in October 2025, up from 5.5% in September, but below the 9.3% recorded in October 2024. Month-on-month urban inflation remained steady at 1.5%, matching the previous month’s reading. Rural inflation climbed faster, reaching 6.6% year-on-year, compared to 5.8% in September, and 4.2% in October 2024. On a monthly basis, rural prices increased by 2.3% in October 2025.
The Ministry of Finance attributed the rise to flood-related disruptions that temporarily affected food and essential commodity supplies. In its recent outlook, the ministry said the inflation spike is likely short-term and projected overall CPI inflation to stay within the 5-6% range for October 2025.
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Pakistan suffered severe floods during the extended monsoon season between June and September 2025, particularly in Punjab, impacting densely populated areas and disrupting supply chains.
Earlier, the World Bank warned that food supply shocks due to floods could push inflation above previous forecasts, peaking at 7.2% in fiscal year 2026 before easing to 6.8% in fiscal year 2027 as supply recovers and commodity prices stabilize.
