THERE is no precedent in our history of such a long and intense spell of inflation gripping the country. It has never happened before. Pakistan has had bouts of high inflation, with the last one running roughly from early 2008 to 2010 or so, depending on which metrics you use to measure its rise and tapering off. But the most recent bout began in May 2021 and is continuing unabated, despite what the measurement of the Consumer Price Index might be showing.

That is three continuous years with no end in sight. Not only that, if the last peak that inflation saw was about 20pc, this bout has seen it touch a peak above 30pc. Not only is the present bout of inflation longer in duration than any in the past, it is also more intense.

We have a new situation on our hands, because there is no model, no projection and no way of knowing what such prolonged exposure to such intense inflationary pressure can do to a populace. Already we are surrounded by anecdotes and stories told by those around us of electricity bills that are in excess of or equal to a household’s monthly expenses. But wait till the month of August. That is when the new electricity bills will start arriving, and for those who live on a salary, the new tax deductions will be applied. The pressures on household purchasing power are set to intensify further.

How far will this process go? The state is balancing its books on our backs, yours and mine. It is shedding its........

© Dawn