Yes They are skipping a Generation of City probably. Since honda has officially launched HRV this year so probably nothing new is coming in this year.
If City had to be changed this was the year, And if anything was coming spy shots would have popped up by now. City had offered variuos goodies like keyless entry and sidemirror indicators, matching mudflaps and rear stop light as standard which clearly shows Hondas overheads for City have gone down by skipping one generation.
But this in no manner means that Honda Civic will get a new generation just like that.
Their is no new Civic before September 2018. Civic will complete its 6 year cycle in Pakistan or maybe more but not less then that.
Corolla being a new product has been appreciated but that is how it has been, If you remember 2002 When Corolla came out with a 9th Gen Corolla with beidge interior, Honda civics 1st facelift came out to counter beidge interior.
But how much SE-Saloons got sold? Similarly Altis Grande, Got a hype initially but both Altis and Civic are slow moving products. 1800cc category people are opting for better Japanese cars.
Similarly Toyota Corolla got more sales because Civic has been in market since 2012, And Corolla rolled out in 2014, Civic following its 3 year facelift, and 6 year model change, got a facelift in 2015,