The Pakistan Bureau of Statistics (PBS) has reported a slight decline in weekly inflation, with prices dropping by 0.35%. The annual inflation rate for the same period stood at 1.98%, signaling relative price stability.

According to the latest data, prices of 12 essential goods decreased during the week, while 11 items saw price hikes. Items with notable increases included eggs, beef, powdered milk, mutton, garlic, jaggery, and onions. Household items such as firewood, energy-saving bulbs, and cigarettes also experienced a rise in prices.

On the other hand, consumers saw relief in the form of reduced prices for basic food staples such as tomatoes, chicken, sugar, moong dal, potatoes, mash dal, and wheat flour.

The report highlighted a 0.71% drop in sugar prices, with the average rate settling at Rs179.33 per kilogram. However, regional price variations were noted: sugar was sold at Rs190/kg in cities like Karachi, Faisalabad, and Peshawar, Rs173/kg in parts of Punjab, and Rs185/kg in Islamabad and Rawalpindi.

There were also marginal reductions in the prices of chickpeas and LPG (liquefied petroleum gas), the PBS added. Prices of 28 key items remained unchanged throughout the week.

Inflation in July 2025 Remained Under Control

Commenting on the broader inflation trend, Khurram Schehzad, adviser to the finance ministry, noted on social media platform X (formerly Twitter) that inflation stayed moderate in July 2025.

He revealed that the overall inflation rate in July stood at 4.1%, a significant improvement from 11.1% in July 2024.

Food inflation in rural regions was recorded at 2.2%, while urban food inflation dropped to 1.5%. In comparison, these figures were slightly higher at 3.4% and 1.3%, respectively, during the same period last year.

Schehzad also pointed out a substantial decline in core inflation, which fell from 11.7% in July 2024 to 7.0% in July 2025—highlighting improved economic stability and reduced pressure on consumers.