SBP Keeps Policy Rate Unchanged Amid Improved Macroeconomic Outlook

The State Bank of Pakistan (SBP) has decided to keep its policy rate unchanged at 11.5% following a meeting of the Monetary Policy Committee on Monday.

The decision was taken unanimously, and the committee assessed that the macroeconomic outlook has improved from its previous meeting.

The improvement is attributed to the earlier de-escalation in global tensions, which led to a decline in global oil prices and a relative ease in supply chain disruptions.

This resulted in some improvement in recent economic indicators, with headline and core inflation moderating in June, though remaining at elevated levels.