By 2027, Pakistan will lower its inflation rate to 7%.

The ministry’s research predicts that throughout the following three years, the rate of inflation will decline.

According to the research, the inflation rate is expected to drop from 23.4% to 12% in 2025 and then to 7.5% in 2026. The rate of inflation is anticipated to drop to 7% by 2027.

The ministry anticipates that during the following three years, the nation’s economic growth rate will rise from 3.6% to 5.5% in addition to lowering inflation. From 1.02% to 0.5% of the economy, the primary balance is anticipated to improve.

The debt-to-GDP ratio is predicted to drop from 68.6% in 2025 to 67.8% in 2026 and then to 66.6% in 2027, according to the report’s predictions about this reduction.

The Consumer Price Index (CPI), which measures core inflation, significantly slowed on December 2, falling to 4.9 percent in November 2024 from 7.2 percent in October 2024.

In November 2023, the CPI-based inflation rate was 29.2%, according to PBS data.

In November 2024, it grew by 0.5% month over month, compared to 1.2% the month before and 2.7% in November 2023.

On X, Khurram Schehzad, advisor to the finance minister on economic and financial reforms, stated, “Pakistan inflation as measured by the CPI has made another multi-year low.”