The State Bank of Pakistan (SBP) decided to maintain the key policy rate at 22% in alignment with market expectations.
According to the SBP, inflation is expected to decrease in the coming months due to adjustments in fuel prices and improved market availability of key commodities.
The Monetary Policy Committee (MPC) emphasized the need to continue with a tight monetary policy stance.
The MPC reiterated its view that the real policy rate is significantly positive, with a focus on achieving the medium-term inflation target of 5-7% by the end of FY25.
Head of Equities at Intermarket Securities, Raza Jafri, suggested that the SBP might consider rate cuts if the IMF review proves successful and international oil prices remain stable.
