Pakistan delivers sixth consecutive rate cut
Decision taking benchmark rate to 12% means policy has been eased by 1,000bp since last June
Pakistan’s central bank cut its benchmark interest by 100 basis points to 12% today (January 27).
The decision, which will take effect from January 28, is the sixth consecutive time the State Bank of Pakistan (SBP) has lowered its policy rate since last June. At the time, the policy rate was 22%.
The SBP said headline inflation had been falling steadily, reaching 4.1% in December compared with 4.9% the previous month. Its target is 5–7%.
The central bank said the fall in inflation had been driven
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