State Bank keeps policy rate unchanged at 11.5%

The State Bank of Pakistan (SBP) has kept its policy rate unchanged at 11.5 per cent, maintaining the benchmark interest rate at its current level.

The decision was made by the central bank’s Monetary Policy Committee, which opted to maintain the benchmark rate amid the prevailing economic conditions.

The Monetary Policy Committee had raised the benchmark rate to 11.50% in April in response to rising inflation, higher global oil prices, exchange rate concerns, and mounting pressure on Pakistan’s external account. The decision marked a shift towards tighter monetary policy to contain inflation and preserve macroeconomic stability.

Inflation climbed back into double digits, rising to 11.1pc in August from 9.2pc in July.