Pakistan’s annual inflation rate has dropped to a historic low of 0.3 percent year-on-year in April 2025, according to data released by the Pakistan Bureau of Statistics (PBS) on Friday.

This marks a dramatic turnaround from May 2023, when the country recorded its highest-ever inflation rate of 37.97 percent. The April figure represents a further decline from the 0.7 percent recorded in March 2025 and stands in stark contrast to the 17.3 percent inflation rate in April 2024.

On a month-on-month basis, inflation decreased by 0.8 percent in April 2025, compared to an increase of 0.9 percent in the previous month and a decrease of 0.4 percent in April 2024.

The average inflation for the first ten months of fiscal year 2025 has fallen to 4.73 percent, significantly lower than the 25.97 percent recorded during the same period last year.

Urban inflation decreased to 0.5 percent year-on-year in April 2025, down from 1.2 percent in March and 19.4 percent in April 2024. Rural inflation decreased by 0.1 percent year-on-year, compared to no change in the previous month and 14.5 percent in April 2024.

The Sensitive Price Index (SPI) inflation on a year-on-year basis decreased by 3.2 percent in April 2025, while the Wholesale Price Index (WPI) inflation decreased by 2.2 percent.

Core inflation, measured by non-food non-energy items, also showed a downward trend. Urban core inflation decreased to 7.4 percent year-on-year in April 2025, down from 8.2 percent in March, while rural core inflation fell to 9.0 percent from 10.2 percent in the previous month.