KARACHI – The State Bank of Pakistan is likely to increase interest rate inthe range of 25 basis points or 50 basis points while announcing themonetary policy by end this week.
A survey conducted by a private television channel Tuesday revealed thatfollowing the sharp depreciation of rupee lately by 4.5 percent, theanalysts, financial wizards belonging to mutual funds, banks and leadingbrokerage houses the interest rate likely to show an increase of 25 to 50basis points.
The State Bank of Pakistan will announce monetary policy on Friday for twomonths through press statement, an official said.
About 33 financial experts were asked about the central bank monetarypolicy stance, which showed that only three of the wizards were of theopinion that the rate to remain unchanged at 6 percent.
However, some 27 analysts from the leading brokerage houses, mutual fundsand other financial institutions were of the opinion that central bank toincrease rate by 25 basis points, while three were of the opinion that itmight raise by 50 basis points.