FD’s update: Oct inflation projected to stay elevated at 9.5-10.5pc
Inflation is projected to remain elevated at 9.5-10.5 percent in October 2026 - attributed to persistent geopolitical tensions, recurring conflict in the Gulf region, volatile oil prices, trade disruptions and elevated global inflation - is considered as a downside risk for the economy, the Finance Division has warned. In its Monthly Economic Update and Outlook for October 2026, the Finance Division said the future inflation trajectory would remain sensitive to international energy prices, food supplies and base effects, despite a moderation in headline inflation to 10.3 percent in September from 11.1 percent in August.