Pakistan inflation at 26.9 percent for October y/y compared with 31.4 percent in September

People buy pulses and grains at a wholesale market in Karachi on February 1, 2023. (AFP/File)
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Updated 02 November 2023
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Pakistan inflation at 26.9 percent for October y/y compared with 31.4 percent in September

  • On month-on-month basis, inflation climbed to 1.08 percent in October, compared with increase of 2 percent in September
  • This brings average inflation rate for fiscal year (July-Oct) to 28.48 percent, against target of 21 percent for this fiscal year

KARACHI: Pakistan’s consumer inflation in October was 26.9 percent year-on-year compared with 31.4 percent in September, statistics bureau data showed on Wednesday, as it awaits its first review following a loan from the International Monetary Fund (IMF).

Pakistan is embarking on a tricky path to economic recovery under a caretaker government after a $3 billion loan program approved by the IMF in July averted a sovereign debt default, but with conditions that complicated efforts to rein in inflation.

On a month-on-month basis, inflation climbed to 1.08 percent in October, compared with an increase of 2 percent in September.

This brings the average inflation rate for the fiscal year (July-Oct) to 28.48 percent, against a target of 21 percent for this fiscal year. Inflation has been in double digits since November 2021.

Reforms required for the IMF bailout, including an easing of import restrictions and a demand that subsidies be removed, have already fueled annual inflation, which rose to a record 38.0 percent in May. Interest rates have also risen to their highest at 22 percent.

However, some respite came in the form of fuel price cuts and a price-control mechanism announced in October, that caretaker Prime Minister Anwaar ul Haq Kakar said would limit inflation.

Pakistan is being governed by a caretaker administration in the run-up to a general election expected in January.

Analysts say inflation has come down because of lower domestic food and fuel prices and a stronger rupee.

“On a month on month basis, inflation has slowed down to 1.08 percent versus the last three months averaging 2.4 percent,” said Mohammad Sohail, CEO of Topline Securities.

Economic analyst Adnan Sheikh said: “Going forward, risks will persist regarding international oil prices amid Middle East tensions along with balance of payment management.”

 


Pakistan Air Force conducts successful test of air-launched cruise missile

Updated 03 January 2026
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Pakistan Air Force conducts successful test of air-launched cruise missile

  • The indigenously developed ‘Taimoor’ missile has a range of 600 kilometers and carries a conventional warhead
  • The missile is designed to fly at low altitudes, which enables it to evade hostile air, missile defense systems

ISLAMABAD: The Pakistan Air Force (PAF) has successfully conducted a test of an air-launched cruise missile, ‘Taimoor,’ the Pakistani military said on Saturday, marking another significant milestone in advancement of national aerospace and defense capabilities.

The indigenously developed Taimoor weapon system is capable of engaging enemy land and sea targets with high precision. The missile has a range of 600 kilometers and carries a conventional warhead.

The missile test comes months after a brief but intense military conflict between Pakistan and India in which the nuclear-armed neighbors exchanged missile and artillery fire and deployed drones and fighter jets.

Equipped with state-of-the-art navigation and guidance system, Taimoor is designed to fly at very low altitudes, enabling it to effectively evade hostile air and missile defense systems.

“Its precision-strike capability significantly enhances the conventional deterrence and operational flexibility of Pakistan Air Force, further strengthening the country’s overall defense posture,” said the Inter-Services Public Relations (ISPR), the military’s media wing.

“The successful flight test underscores the technical maturity, innovation and self-reliance achieved by Pakistan’s defense industry.”

The missile’s launch was witnessed by senior officers of the armed forces along with distinguished scientists and engineers, who played a pivotal role in the development of this advanced weapon system.

PAF’s Air Chief Marshal Zaheer Ahmed Baber Sidhu congratulated the scientists, engineers and the entire PAF team on this remarkable achievement, lauding their professional excellence, dedication and unwavering commitment to strengthening Pakistan’s defense capabilities.

“The air chief reaffirmed that such accomplishments are a testament to the nation’s resolve to achieve technological self-sufficiency and maintain a credible conventional deterrent in the evolving regional security environment,” the ISPR said.

“The successful test of the Taimoor weapon system reflects Pakistan Air Force’s continued pursuit of operational readiness, technological superiority and national security objectives.”

Pakistan has placed greater emphasis on battle readiness in recent months. On Dec. 15, Pakistan Navy test-fired surface-to-air missile in the northern Arabian Sea.

Prior to that, Chief of Defense Forces Field Marshal Asim Munir visited frontline garrisons of Gujranwala and Sialkot to observe a field training exercise involving tanks and drones, where he had highlighted the importance of technological adaptability, saying modern warfare required agility, precision, situational awareness and rapid decision-making.