inflation, Pakistan inflation rate's, inflation types and case study.

2. INFLATION
ECONOMICS

3. Presenter:
Tayyab Ismat

4. CONTENTS
 Introduction
 Example of inflation
 Effects of inflation
 Types of inflation
 Inflation rate
 Article references

5. What is Inflation?
 In economics, inflation is a
sustained increase in the general
price level of goods and services
in an economy over a period of
time.

6. Example of Inflation
 As inflation rises, every dollar you
own buys a smaller percentage of a
good or service.
 For example:
 In 2014, price of Coke was Rs. 60/-
 In 2015, price of Coke is Rs. 75/-

7. EFFECTS OF
INFLATION
 Investment
 Interest rates
 Exchange rate
 Unemployment
 Stocks
 Decreases in the purchasing
power
 Change the allocation of Income

8. INFLATION
RATE
 The inflation rate in Pakistan was
recorded at 2.11 percent in April
of 2015.Average rate 7.99
percent from 1957 until 2015,
reaching an all time high of 37.81
percent in December of 1973 and
a record low of -10.32 percent in
February of 1959. Inflation Rate
in Pakistan is reported by the
Pakistan Bureau of Statistics.
Pakistan Inflation Rate 1957-2015

9. Pakistan Inflation Rate
Calendar Wise
Calendar GMT Reference Actual Previous Consensus Forecast
2015-03-02 09:30 AM Feb 3.2% 3.88% 3.67%
2015-04-01 09:10 AM Mar 2.49% 3.2% 2.8%
2015-05-04 09:05 AM Apr 2.11% 2.49% 3.98%
2015-06-02 10:20 AM May 2.11% 4.25%
2015-07-01 10:30 AM Jun 4.35%
2015-08-04 11:00 AM Jul 4.59%

10. Pakistan Inflation
Rate Continues
to Fall :
 Pakistani annual inflation rate
slowed to 2.11 percent in April
of 2015 from 2.49 percent in
the previous month, due to a
drop in fuel prices.

12. TYPES OF
INFLATION
 On the basis of the degree of the
government control
 Open inflation
 Suppressed inflation
 On the basis of Time & Period
 War time inflation
 Peace time inflation
 On the basis of scope
 Sporadic inflation
 Comprehensive inflation

13. Article

14. Key points of Article
 On a month-on-month basis, prices rose 0.92 per cent in
February 2015.
 On a monthly basis, consumer prices rose 1.32 percent, the
highest since July 2014.
 Average inflation in the period from July to February was
5.45 per cent.
 Pakistan annual inflation rate slowed to 3.24 percent in
February of 2015

15. Key points of Article (Cont.)
 Falling fuel prices were a major contributor to the decline in
prices, said Shaukat Khan, the director of the bureau of
statistics.

16. Key points of Article (Cont.)
 Another factor responsible for the lower inflation rate is the
lowering of the interest by the State Bank to a 10-year low in
January.

17. Key points of Article (Cont.)
 The International Monetary Fund had also predicted that the
Average inflation will ease to below 8pc in fiscal year 2014-
15 and fall further thereafter, as inflation expectations will be
anchored by tight monetary policy and sustainable fiscal
policy.

18. REFERENCE
 Http://www.dawn.com/news/1166885
 Dawn news article – 02 Mar 2015

19. Thank You …