The Economic Coordination Committee (ECC) of the government has allowed Pakistan Bureau of Statistics (PBS) to change the base year of price statistics to 2015-16 from the old base year of 2007-08 for comparative purposes.
In this regard, ECC has previously formed a Technical Committee, which comprised of 30 participants from both the Public and Private Sectors to discuss the technical aspects of the re-basing mechanism.
The technical committee recommended a change in base year from 2007-8 to 2015-16 along with the establishment of Rural Price Index, in addition, to already existing urban and National Price Index.
The re-basing of Year will also be accompanied with the following changes:
- Introduction of rural Index
- Revision of population weights based on recent population census
- Price indices calculation to be based on weighted geometric mean
- Establishment of consumption quintiles for income quintiles
- A new consumer weighted approach for computing gas prices in combined income group
- Impact of GST and fuel price adjustments in computing electricity bills using the consumer weighted approach