Statistics Show PTI Government Is Failing To Control Inflation
Since Pakistan Tehreek-e-Insaf (PTI) took charge of the country after winning general elections in July 2018, the party has had to deal with some of the most daunting problems faced by Pakistan.
One major issue for Prime Minister Imran Khan and his men is controlling prices of basic necessities and fulfilling its promises of making life easier for the general public. That, however, has not happened thus far.
According to the Pakistan Bureau of Statistics (PBS), prices of general and non-food items have dramatically increased during PTI’s first 5 months at the office.
The prices of food items have, however, decreased in comparison to when Pakistan Muslim League-Nawaz (PML-N) and the interim setup ruled.
The Wholesale Price Index (WPI) had also jumped up from 10.5pc when PTI took charge to 12.1pc by the end of December 2018.
The State Bank of Pakistan showed similar statistics.
Similarly, in comparison to previous fiscal years e.g. 2016-17 and 2017-18, the Consumer Price Index and the CPI Inflation for 2018-19 (July 2018-July 2019) is much greater.
The SBP report showed that CPI Inflation on year-on-year basis in federal and provincial capitals of Pakistan showed mixed trend during December 2018.
Among these five cities (Islamabad, Peshawar, Lahore, Karachi and Quetta), the lowest inflation was observed in Lahore at 3.9 percent while the highest inflation was observed in Quetta at 8.6 percent.
Income group-wise inflation
Also, income group-wise data shows that income group above Rs. 35,000 witnessed higher inflation as compared to other quintiles as well as overall CPI during December 2018 in General, Food and Non-food groups.
Recently, PTI unveiled its mini-budget in the National Assembly, which experts and political rivals believe would further fuel inflation.
Journalist Anjum Ibrahim said that “a rise in the budget deficit would fuel inflation that would hit hard those that the PTI government has consistently proclaimed it aims to protect.”
On the other hand, Jamaat Islami leader Liaquat Baloch said the mini-budget would increase inflation.
The next few months are going to be crucial for the PTI, and both PM Khan and Finance Minister Asad Umar will have to pull some rabbits out of the hat to control inflation.
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