SBP monetary policy to increase interest rates

SBP monetary policy to increase interest rates

The State Bank of Pakistan (SBP) is all set to unveil its monetary policy on September 14 (Thursday), as was stated in an announcement by the central bank on Tuesday.

SBP Governor Jameel Ahmed will chair the meeting during which the interest rate for the upcoming two weeks will be decided.

As per the statement, the State Bank has arranged a session of the Monetary Policy Committee (MPC) on September 14 (Thursday). In this meeting, the committee will assess the overall financial situation of the country, economic indicators, and the performance of various domestic and international sectors before making decisions about the monetary policy.

At present, the base interest rate stands at 22 percent. The policy rate will be disclosed through a press release.

Market sentiment indicates expectations of a potential interest rate increase. With persistent inflation and a modest strengthening of the Pakistani rupee against the US dollar, it’s likely that interest rates will trend upward.