ISLAMABAD: The annual inflation rate dropped sharply to 4.49 per cent during the fiscal year 2024-25 from 23.41pc in the previous year, mainly due to high base effect, a decline in food prices and lower transport costs, the government ann­ounced on Tuesday. This marks the lowest inflation rate since FY16, when it stood at 2.9pc — a nine-year low.

Pakistan is currently experiencing disinflation, which reflects a slowdown in the rate of inflation, as opposed to deflation, which indicates a general decline in overall price levels. According to the Pakistan Bureau of Statistics (PBS), average cumulative inflation over the past 53 months has risen by 83pc, significantly affecting retail prices........

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