Pakistan inflation clocks in at 11.1% in August 2026

Pakistan’s headline inflation clocked in at 11.1% on a year-on-year (YoY) basis in August 2026, up from 9.2% recorded in July, as shown by Pakistan Bureau of Statistics (PBS) data on Tuesday.

The consumer price index (CPI) was recorded at 3.1% in August 2025.

On month-on-month basis, it remained unchanged at 1.2% in August 2026 as compared to the previous month and a decrease of 0.6% in August 2025.

Urban CPI inflation increased by 10.4%** on year-on-year basis in August 2026 as compared to an increase of 8.7% in the previous month and an increase of 3.5% in August 2025.

On month-on-month basis, it increased by 0.9% in August 2026 as compared to an increase of 1.2% in the previous month and a decrease of 0.7% in August 2025.

Rural CPI inflation increased by 12.2% on year-on-year basis in August 2026 as compared to an increase of 9.9% in the previous month and an increase of 2.5% observed in August 2025.

On month-on-month basis, it increased by 1.6% in August 2026 as compared to an increase of 1.2 in the previous month and a decrease of 0.5% in August 2025.

Government expectations

In its monthly economic survey for August 2026, the government had seen inflation elevated at 10-11% in August 2026 amid global commodity and energy price pressures.

The economic survey stated that risks remain, particularly from geopolitical uncertainty, global energy prices, and their potential implications for inflation and the external account.

Continued prudent macroeconomic management and reform implementation would therefore remain important to safeguard stability and sustain the growth momentum into fiscal year 2027, it added.

The outlook noted that maintaining policy discipline and advancing structural reforms would be important for sustainable and inclusive growth, strengthen the economy’s resilience to external shocks, and preserve the gains of macroeconomic stability.