Central Bank Keeps Policy Rate Unchanged At 11.5pc

Pakistan’s central bank has decided to keep the key policy rate unchanged at 11.5 percent, citing the need to maintain macroeconomic stability amid evolving inflation and growth trends.

The decision was announced following a meeting of the Monetary Policy Committee, which reviewed recent economic indicators, including inflation, external sector performance, and fiscal developments.

According to the central bank, current monetary conditions remain appropriate to support the ongoing economic recovery while ensuring that inflation stays within the targeted range over the medium term.

Officials noted that easing inflationary pressures and improving external account indicators have contributed to greater economic stability, although global uncertainties and domestic risks continue to warrant a cautious approach.

The central bank added that it will continue to closely monitor developments in commodity prices, exchange rates, and fiscal measures before making any future adjustments to monetary policy.

Analysts say the decision to maintain the policy rate reflects a balance between supporting economic growth and preserving price stability as Pakistan navigates its broader economic reform agenda.