Pakistan Economy_Mar’23 CPI_Establishing new highs (AKD Daily, Mar 29, 2023)
AKD Daily
Pakistan Economy_Mar’23 CPI: Establishing new highs
- Mar’23 headline CPI is expected to clock in at 34.4%YoY, compared to 31.5%YoY reported in the earlier month. The increase in CPI is being driven by heightened food prices, along with the impact of the increased rates of GST implemented by the GoP in Feb’23.
- Heightened headline inflation readings are being driven by increased prices of food products, with the food & non-alcoholic beverages index expected to increase by 43.1%YoY.
- Product-wise, according to SPI data published by PBS, the greatest positive contribution to the index is expected to come from: i) Cooking oil (↑14.9%MoM), ii) Potatoes (↑20.1%MoM), iii) Tomatoes (↑16.6%MoM), iv) Sugar (↑12.4%MoM) and v) Bananas (↑30.3%MoM).
- Gas prices have increased by 73.4%MoM in the month of Mar’23. To note, the IMF had been adamant on the implementation of gas price hikes to bring the ballooning circular debt under control.
- FY23 headline CPI is expected to average ~28.6%YoY, compared to ~12.1%YoY in the earlier year. This paves the way for the MPC to raise interest rates even further (AKD estimate of 200bps).
AKD Research
AKD Securities Ltd. is one of the leading securities firm in Pakistan, providing a comprehensive range of investor focused services, including equity brokerage, economic and securities research, investment banking and financial advisory services. AKD Securities accounts for more than 6% of the average daily value of the Karachi Stock Exchange. AKD Securities was the first brokerage house to launch an online trading platform in Pakistan in November 2002 and now has the largest market share with over 6000 customers. This has helped diversify and expand the retail investor base in the country and ushered in a whole new universe of investors to the stock market.
AKD Securities Ltd. caters to a diversified group of domestic and international institutional investors, high net worth individuals and upscale retail clients, including expatriate Pakistanis. With high quality research, unparalleled execution and distribution capability for both regular and large block trades, AKD Securities Ltd. has earned an outstanding reputation in the Pakistani securities industry.Outside of commercial banks, AKD Securities Ltd. is one of the biggest capital market firms in the country. AKD Securities is the leader in raising and providing risk capital in underwriting, market making and mergers and acquisitions in Pakistan. Good corporate governance and professionalism are emphasized throughout the firm and AKD Securities Ltd. is amongst the very few companies to have introduced a firm-wide comprehensive CODE of ETHICS, overseen by an independent compliance manager.Ultimately, our success is based on the quality of service we provide to our customers and the trust and confidence reposed in us by them. Our focus, therefore, remains on customer satisfaction at all levels in the company.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.