Prices of life-saving medicines increased by 14pc

ISLAMABAD: The Drug Regulatory Authority of Pakistan (DRAP) on Friday, with the approval of the federal government, announced up to 14 percent hike in the prices of life-saving medicines, ARY News reported.

According to a notification by DRAP, a copy of which is available with ARY News, 14 percent hike has been approved in the prices of life-saving drugs, whereas a 20pc hike was approved in the prices of all other medicines.

In its notification, the regulatory authority stated that the prices were being increased as a ‘a one-time dispensation’ equal to the 70 percent increase in the consumer price index (CPI).

However, the notification said that the price increase would be considered the annual increase for the fiscal year 2023-24. “No increase under this category shall be granted in next financial year,” it said.

The DRAP’s Policy Board will review the situation after three months i.e. in July 2023 and make its recommendations to the federal government for its consideration regarding price decrease, if the “Rupee appreciates in value”.

The Economic Advisory Committee had already improved the price increase.

With rising fuel prices and a depreciating rupee, inflation has been record-high in recent months leading to an impact on all sectors of the economy.

Earlier in the day, it was reported that the weekly inflation, measured by Sensitive Price Indicator (SPI), decreased by 0.16 pc on a year-on-year basis for the week ending on May 18. The short-term inflation rose by an all-time high of 48.35pc for the period that ended on May 4.

According to data released by the Pakistan Bureau of Statistics (PBS), the combined index was at 255.12 compared to 255.53 on May 11, 2023, while the index was recorded at 175.08 a year ago, on May 19, 2022.