SBP keeps policy rate unchanged at 10.5pc for next two months

The State Bank of Pakistan on Monday announced its latest monetary policy, deciding to keep the key policy rate unchanged at 10.5 per cent.

In a statement issued from Karachi, the central bank said the decision was taken after a meeting of its monetary policy committee, which reviews economic indicators and inflation trends before determining interest rates.

According to a spokesperson for the central bank, the policy rate will remain at 10.5pc for the next two months. The spokesperson added that the latest monetary policy decision reflects the central bank’s assessment of prevailing economic conditions and the need to maintain stability in the financial system.

The policy rate, commonly referred to as the benchmark interest rate, plays a key role in influencing borrowing costs for businesses and consumers, as well as broader economic activity.

The central bank periodically reviews the rate through its monetary policy announcements, adjusting it when necessary to manage inflation, support economic growth and maintain financial stability.