Close Menu
Nabka News
  • Home
  • News
  • Business
  • China
  • India
  • Pakistan
  • Political
  • Tech
  • Trend
  • USA
  • Sports

Subscribe to Updates

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

What's Hot

Seed technology drives cotton mechanization in China’s Xinjiang-Xinhua

July 10, 2025

US imposes sanctions on UN’s Francesca Albanese over Israel’s criticism

July 10, 2025

Sinner powers into Wimbledon semi-finals to ease injury fears – Sport

July 10, 2025
Facebook X (Twitter) Instagram
  • Home
  • About NabkaNews
  • Advertise with NabkaNews
  • DMCA Policy
  • Privacy Policy
  • Terms of Use
  • Contact us
Facebook X (Twitter) Instagram Pinterest Vimeo
Nabka News
  • Home
  • News
  • Business
  • China
  • India
  • Pakistan
  • Political
  • Tech
  • Trend
  • USA
  • Sports
Nabka News
Home » SBP maintains key interest rate at 12%
Pakistan

SBP maintains key interest rate at 12%

i2wtcBy i2wtcMarch 10, 2025No Comments2 Mins Read
Share Facebook Twitter Pinterest LinkedIn Tumblr Email WhatsApp Copy Link
Follow Us
Google News Flipboard Threads
Share
Facebook Twitter LinkedIn Pinterest Email Copy Link


Listen to article

The Monetary Policy Committee (MPC) of the State Bank of Pakistan (SBP) on Monday decided to keep the policy rate unchanged at 12%, citing expectations of a temporary rise in inflation between March and May.

In its announcement, the MPC stated: “At its meeting today, the committee decided to keep the policy rate unchanged at 12 percent.”

“Notwithstanding this decline, the committee assessed the risks posed by the inherent volatility in these prices to the current declining trend in inflation.

At the same time, core inflation is proving to be more persistent at an elevated level, and thus an uptick in food and energy prices may lead to an increase in inflation,” the MPC stated in its latest policy review.

The committee also noted that economic activity is showing signs of improvement as reflected in recent high-frequency indicators. However, concerns remain regarding external account pressures due to rising imports and weak financial inflows.

“On balance, the MPC assessed the current real interest rate to be adequately positive on a forward-looking basis to sustain ongoing macroeconomic stability,” it added.

The decision follows a review by an International Monetary Fund (IMF) delegation which assessed Pakistan’s $7 billion bailout program, including discussions on revenue targets and taxation measures that may impact inflation and monetary policy.

Since June 2024, the SBP has implemented an aggressive monetary easing cycle, reducing the policy rate by a total of 1,000 basis points (bps) over six months.

Inflation dropped to 2.4% in January, the lowest in over nine years, and is projected to decline further to 2.2% in February. However, core inflation remains high, the current account deficit is widening, and market yields are rising, prompting analysts to suggest that the SBP may slow the pace of future rate cuts.

If the IMF review is approved before the June budget, Pakistan could unlock the next tranche of funding as part of its ongoing economic reform commitments under the bailout program.



Source link

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email WhatsApp Copy Link
i2wtc
  • Website

Related Posts

Pakistan

US imposes sanctions on UN’s Francesca Albanese over Israel’s criticism

July 10, 2025
Pakistan

Incentive cuts may hit remittances

July 10, 2025
Pakistan

PM Shehbaz invites Turkish companies to invest in Pakistan

July 10, 2025
Pakistan

Bilawal urges Indian youth to reject hate, war rhetoric from govt

July 10, 2025
Pakistan

NAB summons officers of civic bodies over ‘betterment levy’

July 10, 2025
Pakistan

PSX falls 826 points amid profit-taking

July 10, 2025
Add A Comment
Leave A Reply Cancel Reply

Top Posts

Seed technology drives cotton mechanization in China’s Xinjiang-Xinhua

July 10, 2025

House Republicans unveil aid bill for Israel, Ukraine ahead of weekend House vote

April 17, 2024

Prime Minister Johnson presses forward with Ukraine aid bill despite pressure from hardliners

April 17, 2024

Justin Verlander makes season debut against Nationals

April 17, 2024
Don't Miss

Trump says China’s Xi ‘hard to make a deal with’ amid trade dispute | Donald Trump News

By i2wtcJune 4, 20250

Growing strains in US-China relations over implementation of agreement to roll back tariffs and trade…

Donald Trump’s 50% steel and aluminium tariffs take effect | Business and Economy News

June 4, 2025

The Take: Why is Trump cracking down on Chinese students? | Education News

June 4, 2025

Chinese couple charged with smuggling toxic fungus into US | Science and Technology News

June 4, 2025

Subscribe to Updates

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

About Us
About Us

Welcome to NabkaNews, your go-to source for the latest updates and insights on technology, business, and news from around the world, with a focus on the USA, Pakistan, and India.

At NabkaNews, we understand the importance of staying informed in today’s fast-paced world. Our mission is to provide you with accurate, relevant, and engaging content that keeps you up-to-date with the latest developments in technology, business trends, and news events.

Facebook X (Twitter) Pinterest YouTube WhatsApp
Our Picks

Seed technology drives cotton mechanization in China’s Xinjiang-Xinhua

July 10, 2025

US imposes sanctions on UN’s Francesca Albanese over Israel’s criticism

July 10, 2025

Sinner powers into Wimbledon semi-finals to ease injury fears – Sport

July 10, 2025
Most Popular

Starbucks is failing to reach consumers in the U.S. and China

May 3, 2024

US automakers such as GM are rapidly losing ground in China

May 6, 2024

Biden seeks to stem a surge in imports from China

May 8, 2024
© 2025 nabkanews. Designed by nabkanews.
  • Home
  • About NabkaNews
  • Advertise with NabkaNews
  • DMCA Policy
  • Privacy Policy
  • Terms of Use
  • Contact us

Type above and press Enter to search. Press Esc to cancel.