Inflation in Pakistan clocks in at 7% in February 2026
- On a month-on-month basis, the Consumer Price Index increases by 0.3%
Headline Inflation YoY
Pakistan’s headline inflation clocked in at 7% on a year-on-year (YoY) basis in February 2026, the highest since October 2024, showed Pakistan Bureau of Statistics (PBS) data on Monday, a reading in line with the Ministry of Finance’s estimate of 6-7%.
The consumer price index (CPI) was recorded at 5.8% in January 2026. The CPI stood at 1.5% in February 2025.
On month-on-month basis, it increased by 0.3% in February 2026 as compared to an increase of 0.4% in the previous month and a decrease of 0.8% in February 2025.
This took 8MFY26 inflation at 5.46% against 5.85% in 8MFY25.
CPI inflation (Urban) increased by 6.8% on year-on-year basis in February 2026 as compared to an increase of 5.8% in the previous month and an increased of 1.8% in February 2025.
On month-on-month basis, it increased by 0.3% in February 2026 as compared to an increase of 0.2% in the previous month and a decrease of 0.7% in February 2025.
CPI inflation (Rural) increased by 7.3% on year-on-year basis in February 2026 as compared to an increase of 5.8% in the previous month and 1.1% in February 2025.
On month-on-month basis, it increased by 0.3% in February 2026 as compared to an increase of 0.6% in the previous month and a decrease of 1.1% in February 2025.
In its Monthly Economic Update & Outlook, February 2026, the Finance Division had seen February inflation figures at 6-7%.
Earlier, Optimus Capital Management, a brokerage house, said that Pakistan’s inflation is set to edge higher in February 2026, with expectations of 7.4% YoY, reflecting pressures from rising electricity and gold prices.
Last month, the State Bank of Pakistan (SBP) decided to keep its benchmark policy rate unchanged at 10.5% in its first Monetary Policy Committee (MPC) meeting of 2026.
The decision was against the market expectations, which was hoping for a a rate cut.
SBP Governor Jameel Ahmad announced the MPC decision in a press conference. Inflation in Pakistan could be above 7% in the current fiscal year’s second half, he said.
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