Declining prices in int'l market to augur well for domestic rates in future.

ISLAMABAD -- The National Price Monitoring Committee (NPMC) on Friday observed that price trend in international market is on declining trend which will augur well for the domestic prices in near future.

The NPMC meeting was held under the Chairmanship of Finance Secretary to discuss the price trend of essential food items. The meeting was informed that CPI inflation year on year is recorded at 8.2 per cent in May 2020 over May 2019 and July-May CPI inflation on average reached to 10.9 per cent. It was noted that inflation is on continuously declining trend since January 2020, due to policy, administrative and relief measures of the Federal and provincial governments.

The government in budget had projected that inflation is expected to remain in single digit at 6.5 per cent. The Asian Development Bank (ADB) in its recent report has stated that inflation projections for Pakistan in 2020 and 2021 are revised down from ADO 2020 in line with sharply contracting demand. Inflation rate has estimated to reduce to 8 percent in next fiscal year from 11 per cent of the ongoing financial year. Meanwhile, the NPCC has noted that government is proactively taking measures to control the general price level of daily use items at Federal, provincial and district levels.

The Chair informed that the recent Cabinet meeting took notice of the price hike in poultry sector. The Chair discussed the matter in details with all stakeholders and examined the demand and supply dynamics of poultry products and directed provincial governments and ICT administration to take strict actions where undue price hike is being made and urged to take comprehensive measures for smooth supply of poultry products. The provincial representative and ICT administration ensured that they will take all possible measures to improve the situation and the prices will tame in coming days.

The Chair also directed the CCP to share their findings in poultry sector with provincial government and ICT to streamline the recent spike in the prices of poultry sector and play proactive role to control the spike in prices. NPMC also directed the Ministry of National Food Security to make necessary coordination and consultation with provincial governments in a more vigilant way on the prices of wheat and wheat flour and take immediate measures to ensure smooth supply. The Chair advised that all relevant authorities along with provincial governments should monitor the provision of essential food items...