KARACHI – State Bank of Pakistan officials will meet today to announce new monetary policy today on March 18, 2024, and experts hinted a cut in key policy rate.
In last review, the central bank decided to keep the interest rate at 22percent amid record inflation.
Monday’s policy decision is last announcement by SBP before end of $3 billion Stand-by Arrangement with the International Monetary Fund (IMF).
Ahead of key meeting, some analysts forecast 100-basis-point cut, while a financial pundit expected a 25-bps cut.
Earlier, the caretaker setup raised interest rate to deal with persistent inflationary pressures and to meet one of the conditions set by the IMF for securing the bailout.
Despite extreme measures, inflation in the country reached all-time high of 38pc in May last year, driven partly by new taxation measures imposed to comply with IMF demands for rescue program that helped crisis-hit country to avoid a sovereign debt default.
