Inflation in Pakistan eased further in April 2025, continuing the downward trend seen in recent months. According to the Pakistan Bureau of Statistics (PBS), core inflation—excluding food and energy—dropped by 0.3%, compared to a 0.7% drop in March. This decline points to a gradual cooling in overall price pressures across the country.
The Consumer Price Index (CPI) showed a 0.8% drop in monthly inflation, reversing a 0.9% increase in March. Urban areas saw the sharpest fall, with annual inflation in cities dropping to just 0.5%, compared to 1.2% in March and 19.4% in April last year. On a monthly basis, urban inflation declined by 0.7%, after rising 0.8% in the previous month.
Rural inflation also declined. On a year-on-year basis, it fell by 0.1%, while monthly inflation dropped by 1%, reversing a 1.1% rise in March. In comparison, rural inflation was 0.9% lower in April 2024. Meanwhile, the Sensitive Price Index (SPI)—which tracks essential goods—fell by 3.2% annually and 1.7% monthly, marking a sharp contrast to last year’s 21.6% inflation rate in April.
Wholesale inflation dropped by 2.2% in April 2025, a bigger decline than the 1.6% fall in March. In April 2024, wholesale prices had risen by 13.9%. Core inflation in urban areas fell to 7.4% annually, down from 8.2% in March and 13.1% a year ago. These trends suggest improved price stability and potentially greater breathing room for economic planning ahead.