Pakistan's annual inflation rate jumped to 7 per cent in October from 5.12 per cent a month earlier, the Bureau of Statistics said on Friday.

The inflation now stands at the highest in four years.

The above-expectations jump in inflation comes after Pakistan's central bank devalued the currency five times since December, weakening it by 26 per cent against the dollar during that period.

The rise in inflation is also a result of the hike in gas tariff and rise in prices of other commodities.

Pakistan's central bank on October 18 said it expected economic growth to remain below the target and forecast an increase in the inflation rate.

While the inflation rate limit was initially set at 6.0 percent, three factors — namely electricity, gas, and higher dollar rates — are likely to bump up the prices, which would translate into a hike between 6.5-7.5 per cent, the State Bank of Pakistan (SBP) had noted in its economic review report.