Pakistan’s c. bank cuts interest rate by 100bps

The monetary policy committee (MPC) of the State Bank of Pakistan (SBP) decided on Monday to reduce the policy rate by 100 basis points to 12 per cent, effective January 28, 2024.

The decision to cut interest rates follows a decrease in the country’s inflation to 4.1 per cent year-on-year in December 2024, mainly due to lower electricity tariffs, sufficient supply of key food items, and stable exchange rates.

Attribution: Amwal Al Ghad English

Subediting: M. S. Salama