Karachi: Annual inflation in Pakistan is projected to rise to 7.3% year-on-year in March 2026, primarily driven by an increase in fuel prices. This anticipated rise in inflation is expected to be reflected in the Transport and Housing indices, which are predicted to see a significant uptick this month.
According to AKD Securities Limited, the surge in these indices is attributed to rising international oil prices, fueled by an ongoing conflict in the Middle East. Despite the Pakistani government's efforts to mitigate the impact through cash subsidies, the burden of increased fuel prices is expected to drive inflation higher. The report suggests that the government has managed to cushion some of the effects, but the upward pressure on inflation remains significant.
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