Karachi: Pakistan's Consumer Price Index (CPI) is projected to reach 7.2% for February 2026, indicating a slight increase in inflationary pressures. The average inflation rate for the first eight months of the fiscal year 2026 is expected to be approximately 5.5%, a decrease from 6.0% during the same period last year.

According to JS Global, food inflation is anticipated to record a year-on-year rise of 7.0%, with a 20 basis point increase on a month-on-month basis. This is attributed to rising prices in categories such as fresh fruits, tomatoes, pulses, and fresh vegetables. The State Bank of Pakistan (SBP) has maintained the policy rate at 10.5%, citing concerns over persistent core inflation, a significant trade deficit, and stronger-than-expected domestic economic growth. These factors have diminished the immediate need for monetary easing. The central bank is expected to keep the policy rate unchanged in its upcoming Monetary Policy Committee meeting scheduled for March 9, 2026.