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Federal Bureau of Statistics report, inflation increased in September

Business Desk by Business Desk
October 1, 2025
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Islamabad: The Pakistan Bureau of Statistics (BBS) has released a monthly report on inflation, according to which an overall 2 percent higher inflation was recorded in the country during September 2025 compared to August.

The report stated that the annual inflation rate in rural areas was 5.8 percent, which is higher than the 5.5 percent rate in cities. On a monthly basis, inflation in villages increased by 2.8 percent while in cities it increased by 1.5 percent.

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The estimate given by the Ministry of Finance for September was between 3.5 and 4.5 percent, while the average inflation in the July-September quarter was 4.22 percent.

The annual inflation rate was recorded at 2.99 percent in the previous month, i.e. August 2025. In contrast, the same rate in September 2024 was 6.9 percent, indicating that there has been an increase this time, but the rate is lower than last year.

The Bureau of Statistics said in the report that the recent floods affected the supply of food grains and daily necessities, which led to a temporary increase in inflation.

According to experts, although the current rate of inflation has not reached dangerous levels, rural households are under more pressure. They say that the coming months will determine whether this increase is temporary or there is a possibility of further increase in prices.

IndicatorValue
Monthly change (Sept vs Aug)+2.0%
Annual inflation — Rural areas5.8%
Annual inflation — Urban areas5.5%
Monthly inflation (Sept) — Rural+2.8%
Monthly inflation (Sept) — Urban+1.5%
Ministry of Finance estimate for Sept3.5% – 4.5%
Quarterly average (Jul–Sep)4.22%
Annual inflation — August 20252.99%
Annual inflation — September 20246.9%
Note: The report flagged recent floods as a potential cause of a temporary rise in prices for food and essentials.
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