Policy rate hike unlikely in final FY26 review
KARACHI: The grounds for an increase in the policy rate have largely disappeared ahead of the State Bank of Pakistan’s (SBP) upcoming monetary policy announcement, as global oil prices have either remained stable or eased despite heightened tensions in the Gulf, market participants said. The Monetary Policy Committee (MPC) is scheduled to meet on June 15 for what will be the final policy review of FY26. The only increase in the policy rate during the current fiscal year came
Market participants anticipate that the State Bank of Pakistan (SBP) will not raise its policy rate in the final review for fiscal year 2026, scheduled for June 15th. This outlook is driven by stabilizing global oil prices, despite recent Middle East tensions. The previous policy rate increase occurred on April 27th, raising the benchmark to 11.5 percent due to geopolitical concerns that had impacted oil prices and supply chains. However, improved diplomatic prospects and a sustained ceasefire have eased these pressures. Analysts suggest that currency stability and the external account will be key factors in the SBP's decision. Recent economic stability is attributed more to strong foreign exchange inflows than interest rates, with limited impact of monetary policy on supply-side inflation.
This article provides insight into Pakistan's monetary policy outlook, influenced by global economic factors and regional stability.
📌 Kaynak
Bu özet Pakistan kaynağından otomatik derlenmiştir. Tamamı için orijinal habere gidin.
Orijinal haberi oku →