ISLAMABAD: Pakistan’s top economic decision-making body on Tuesday approved the Ramadan relief package ahead of the Muslim fasting month beginning in March to facilitate lower- and middle-income groups amid high inflation.
Governments in Pakistan typically announce the package every year to ease the burden of increased food consumption and charitable giving that characterizes the holy Islamic month.
The Ramadan relief package includes subsidies and price reductions on essential commodities such as wheat, sugar, oil and pulses, among other items.
“The Economic Coordination Committee has approved the proposed Ramadan Relief Package 2024,” the country’s state-owned broadcaster, Radio Pakistan, reported on Tuesday. “Under the package, subsidies will be provided to targeted beneficiaries of BISP [Benazir Income Support Program] with a net amount of 7.4928 billion rupees [$32.6 million].”
Pakistan witnessed all time high inflation of 38 percent last May which gradually declined to 28.3 percent at the outset of this year.
The country’s short-term inflation, measured by the Sensitive Price Index, spiked by 39.45 percent on an annual basis earlier this month due to a surge energy and food prices.
Independent financial analysts and global institutions, including the International Monetary Fund (IMF), believe Pakistan’s inflation will gradually ease in the coming months, potentially offering much-needed relief to people.
