SBP cuts interest rate by 150 basis points

Islamabad: (Friday, August 10, 2012) In a bid to revive the long stalled business activity in the country, the State Bank of Pakistan has decided to cut the key policy rate by 150 basis points. After the decrease, the new rate
stands at 10.5 per cent.

After keeping the interest rate unchanged for about 9 months, the SBP decided to lower it further. Earlier, after the current Governor State Bank of Pakistan assumed his charges, the interest rate was cut about 1.5 percent and
brought down to 12 percent.

While announcing the decision about introducing new monetary policy, Yaseen Anwar, the Governor SBP said the remittances from overseas Pakistani workers and reimbursements from the United States for Pakistan’s assistance in the
war against militancy has helped the country’s foreign exchange reserves.

He said, “However, concerted efforts to bridge the gap between revenues and expenditures through structural reforms are necessary to bring monetary stability and economic growth on a sustainable basis.”

Short URL: https://www.newspakistan.pk/?p=30698

Posted by Fayyaz Yaseen on Aug 10 2012. Filed under Business, Pakistan. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry