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Economy, business and finance
Pakistan’s Inflation Surges At Fastest Pace In The World: Here’s What’s Driving It
Pakistan recorded 11.10% annual inflation in August 2026, among the highest rates shown in this BestBrokers comparison of inflation across the world.
Pakistan’s annual inflation jumped from 9.2% in July to 11.1% in August, a 1.9-percentage-point increase that was the largest acceleration among 93 countries analysed by BestBrokers, alongside Fiji.
The latest inflation surge comes against a backdrop of mounting economic pressure on Pakistani households. Pakistan’s poverty rate rose to 28.9% in FY26 from 21.9% a year earlier, according to a report by The Friday Times citing the Economic Survey of Pakistan 2025-26.