KARACHI: The State Bank of Pakistan (SBP) will announce monetary policy on Monday.
The meeting of the Monetary Policy Committee (MPC) of SBP will be held on first day of the next week to decide about the Monetary Policy.
Later, Governor SBP, Jameel Ahmad will announce the Monetary Policy decision at a press conference on the same day after the MPC meeting, the official statement added.
In December last, the central bank slashed the policy rates by 200 basis points (bps) to 13pc.
“Headline inflation declined to 4.9 percent y/y in November 2024, in line with the MPC’s expectations. This deceleration was mainly driven by the continued decline in food inflation and the phasing out of the impact of the hike in gas tariffs in November 2023,” SBP had announced in an official statement.
“However, the Committee noted that core inflation, at 9.7 percent, is proving to be sticky, whereas inflation expectations of consumers and businesses remain volatile. To this effect, the Committee reiterated its previous assessment that inflation may remain volatile in the near term before stabilizing in the target range.
“At the same time, the growth prospects have somewhat improved, as reflected by the recent uptick in high-frequency indicators of economic activity. Overall, the Committee assessed that its approach of measured policy rate cuts is keeping inflationary and external account pressures in check while supporting economic growth on a sustainable basis,” said the committee.
