Dawn
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17:32 Jun 15, 2026
The State Bank of Pakistan decided to keep the policy rate unchanged at 11.5 per cent on Monday. The decision was made during a meeting for the final policy review of FY26. In a detailed statement, the MPC said that global oil prices had eased in light of recent geopolitical developments; however, it noted that the prices remained elevated compared to pre-conflict levels. “Nonetheless, as anticipated in the last MPC meeting, the impact of the conflict is now reflecting in recent economic indicators,” it said, noting that “headline inflation rose to double digits in April and May, while core inflation also edged up”. The statement continued: “Moreover, economic activity is showing some signs of moderation, reflecting the impact of elevated prices, austerity measures and prevalent economic uncertainty”. It added that the external account pressures remained moderate. As per the statement, the MPC observed that the macroeconomic outlook remained “broadly unchanged” since its previous meeting. “In this context, th...