ISLAMABAD: Pakistan’s inflation rose 9.08 per cent in October 2013 from a year ago. It was the highest increase after 14 months.

The rise in inflation was mainly contributed by increase in electricity tariffs and rise in prices of petroleum products.

Inflation, measured through Consumer Price Index (CPI), increased by 2pc from the previous month, suggested data of Pakistan Bureau of Statistics here on Friday.

Upward adjustments in prices of petroleum products in the last three months, followed by substantial increase in electricity tariff, fuelled inflation.

Since June 12, 2013, prices of manufactured items were on the rise because of increase in sales tax rate from 16pc to 17pc and imposition of withholding tax on various products in the budget 2013-14.

At the same time, rupee depreciation also led to an increase in prices of imported consumer and non-consumer items, especially raw material used in the manufacturing of industrial products.

The government has projected an inflation target of 8pc for 2013-14 fiscal year compared to 7.38pc in the year 2012-13.

Core inflation, which is non-food and non-energy, rose 8.4pc in October 2013 from a year ago. It increased by 0.9pc in October from the previous month, reflecting a slight increase.

To check core inflation, the State Bank of Pakistan increased the interest rate by 50pbs as part of the last monetary policy.

In October, total food inflation was at 9.8pc from a year ago, non-perishable food items witnessed a surge of 7.93pc and perishable items prices increased 18.55pc in October over last year.

The prices of food items, which registered increase included: tomatoes (50.79pc), potatoes (44.41pc), tea (24.93pc), wheat flour (24.32pc), gur (22.84pc), chicken (19.71pc), wheat product (18.24pc), fresh vegetables (16.75pc), cereals (12.88pc), rice(11.81pc), masoor (11.70pc), beverages (11.40pc) and beans (10.92pc).

Non-food inflation witnessed an increase of 8.6pc in October 2013 from a year ago mainly because of increase in the prices of petroleum products during the month under review.

Non-food items prices that rose in October over last year included postal services (24.87pc), footwear (18.52pc), cosmetics (17.01pc), woolen readymade garments (16.07pc), text-books (16.01pc), electricity (15.82pc), tailoring (15.29pc), cotton cloth (14.61pc), sewing needle and dry cells (13.03pc), cleaning and laundry (12.06pc), dopatta (13.19pc) and readymade garments (11.94pc).

The PBS statistics showed that inflation measured through sensitive price index was up by 10.5pc in October and inflation in the wholesale manufactured products also increased 9.8pc over October last year.