KARACHI: The State Bank of Pakistan’s (SBP) Monetary Policy Committee (MPC) is set to convene on Monday, May 5, to determine the country’s monetary policy outlook for the next two months.
According to a statement issued by the SBP, the committee will review key economic indicators and decide whether to adjust the benchmark interest rate.
Market expectations suggest a potential reduction in the policy rate by 50 basis points, bringing it down to 11.5%, as forecasted by brokerage firm Arif Habib Limited (AHL).
The central bank had previously maintained the policy rate at 12% during its last session on March 10.
Economic experts believe the SBP has sufficient space to ease the interest rate by up to 200 basis points by the end of 2025, heightening the likelihood of a rate cut in the upcoming announcement.
