#CPIWatch

Pakistan's inflation rate rose to 5.8% in January 2026, up from 5.6% in December 2025, according to the Pakistan Bureau of Statistics (PBS). This increase is attributed to rising food and energy costs. Urban and rural inflation rates converged at 5.8%, with rural areas experiencing a slightly higher monthly increase.

*Key Highlights:*

- *Food Inflation:* 2.13% increase

- *Housing Inflation:* 1.53% increase

- *Urban Inflation:* 5.8% (stable from previous month)

- *Rural Inflation:* 5.8% (up from 5.4% in December 2025)

The State Bank of Pakistan (SBP) has maintained its policy rate at 10.5%, balancing economic growth with inflation management.

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