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SBP raises policy rate by 100 bps to 11.50 per cent

SBP raises policy rate by 100 bps to 11.50 per cent

Zafar Ali
Apr 27, 2026

SBP keeps policy rate unchanged at 11.5 per cent — The SBP emphasised that no action should be taken against a customer's bank account unless there is clear legal authority and appropriate verification: FILE PHOTO

KARACHI: Pakistan’s central bank on Monday raised its key policy rate by 100 basis points to 11.50 per cent, citing the need to address inflationary pressures and stabilise the economy.

The State Bank of Pakistan (SBP) said its Monetary Policy Committee (MPC) took the decision after reviewing the country’s macroeconomic conditions

According to a statement issued on Monday, the new rate will take effect from April 28, 2026, the central bank said, adding that a detailed monetary policy statement would be released later.

The Monetary Policy Committee decided to raise the policy rate by 100 basis points to 11.50% w.e.f 28-Apr-2026 in its meeting held on 27-Apr-2026.
— SBP (@StateBank_Pak) April 27, 2026

Economists said the rate hike was aimed at curbing rising inflation and anchoring economic stability, though it could increase borrowing costs for businesses and consumers.

Higher interest rates are expected to make bank lending more expensive, potentially slowing industrial and commercial activity.

Pakistan’s economy has come under pressure in recent months due to rising global oil prices and external factors, prompting tighter monetary policy measures.