Pakistan central bank holds policy rate at 11.5% as inflation pressures persist

The State Bank of Pakistan's decision to maintain its benchmark rate signals a cautious stance amid ongoing macroeconomic stabilization efforts.

By Handelsavisen Newsroom · Automated 2026-07-27 11:00 UTC · 1 min read

The State Bank of Pakistan (SBP) has kept its benchmark policy rate unchanged at 11.5%, following a meeting of its Monetary Policy Committee (MPC).

The decision, announced on Monday, aligns with market expectations and reflects the central bank's continued focus on managing inflationary pressures while supporting economic stability.

The 11.5% rate remains a critical tool in the bank's efforts to stabilize the currency and restore investor confidence, particularly in the context of broader regional monetary policy trends.

SBP Governor Jameel Ahmed outlined the committee's rationale during a press conference, emphasizing the need for a steady monetary policy stance given the current economic landscape.

The hold on interest rates comes as Pakistan navigates a complex macroeconomic environment, balancing the need for growth with the imperative to control inflation.

This decision marks a continuation of the SBP's recent policy trajectory, which has seen the central bank maintain a hawkish posture to anchor inflation expectations.

The 11.5% rate remains a critical tool in the bank's efforts to stabilize the currency and restore investor confidence, particularly in the context of broader regional monetary policy trends.