The Finance Division on Wednesday forecast that inflation in Pakistan is expected to be between 6-7 per cent in October and further moderate to 5.5-6.5 per cent by November.
The ministry said in its monthly economic update and outlook report that economic recovery is expected in the coming months.
Inflation is expected to remain between 6-7 per cent in October and will further decline to 5.5-6.5 per cent by November 2024, the report said.
According to the outlook report, the CPI was recorded at 6.9 per cent in September 2024, which is a 44-month low, compared to 9.6 percent in the previous month and 31.4 per cent in September 2023.
Large scale manufacturing (LSM)
According to the report, large-scale manufacturing (LSM) is showing mixed signs with growth remaining negative on an annual basis yet showing signs of recovery on a monthly basis.
Industrial production is gradually stabilising and key sectors have started increasing production, the report said.
Although challenges remain, especially in the domestic market, the outlook is cautiously positive, according to the report.
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The Ministry of Finance believes that the positive monthly growth indicates that momentum may pick up in the coming months with the help of a favorable economic environment on both the domestic and external fronts.
As per the monthly outlook report, this trend is in line with the government’s broader vision of promoting sustainable agricultural development through technological advancement.
Based on the current trend, exports are expected to be between $2.5 to $2.8 billion, imports to be between $4.5 to $4.9 billion, and remittances to be between $2.8 to $3.3 billion in October 2024, the report said.
