State Bank of Pakistan’s (SBP) Monetary Policy Committee (MPC) will meet on Thursday, September 14, 2023, in Karachi to decide about the Monetary Policy.
SBP will issue the Monetary Policy Statement through a press release on the same day.
As per experts, SBP is likely to increase interest rates further in the said policy review meeting.
Inflation in Pakistan continues to soar from mid-2022, and SBP is expected to increase the policy rate by up to 150-200 basis points.
As the key policy rate already stands at a record high of 22pc, brokerage houses predicted that Pakistan’s central bank will increase the key policy rate to control runaway inflation.
As the trend of increasing inflation is likely to stay, forecasts indicate an average inflation rate of 28.5pc until December 2023, particularly following an expected peak in September 2023.
As some predicted it to be clocked at 23.5pc, several sources familiar with development claimed that SBP is expected to raise the policy rate by at least 200 basis points to 24 per cent.
Inflation remained high for around 1.5 years, rising to a record high of 37.97 per cent in May this year. In recent months, the inflation plunged to 30 per cent.
