Inflation in Pakistan continued its upward trend in May 2026, reaching its highest level in nearly two years, according to the latest figures released by the Pakistan Bureau of Statistics (PBS). The new data shows that price pressures increased further during the month, affecting consumers across both urban and rural areas.
According to the report, inflation recorded a monthly increase of 0.52% in May compared to April 2026. This marks the sharpest monthly rise since June 2024 and reflects the growing cost of living faced by households across the country.
The annual inflation rate also witnessed a significant jump. In May 2026, inflation stood at 11.66% on a year-on-year basis, compared to only 3.5% recorded during the same month last year. The increase highlights the substantial rise in prices over the past 12 months and indicates that inflationary pressures remain a major economic challenge.
The statistics further revealed that the average inflation rate during the period from July 2025 to May 2026 was recorded at 6.69%. In comparison, the annual inflation rate in April 2026 was 10.89%, showing that price growth accelerated further in May.
Regional data included in the report showed noticeable differences between urban and rural areas. Monthly inflation in rural regions increased by 0.30%, while urban centers experienced a larger rise of 0.68% during May 2026. The sharper increase in cities suggests that urban consumers faced stronger price pressures during the month.
On a yearly basis, inflation reached 11.48% in rural areas and 11.79% in urban areas. The figures indicate that rising prices continue to impact households nationwide, with urban populations experiencing slightly higher inflation levels. The latest PBS report underscores the ongoing challenge of controlling inflation as Pakistan navigates economic recovery and rising consumer costs.
Also Read: IMF Projects Inflation Rise in Pakistan
