SBP to announce monetary policy on May 5

Financial institutions expect a moderate rate cut to support economic recovery.

State Bank of Pakistan. PHOTO: FILE

The State Bank’s Monetary Policy Committee (MPC) meeting has been scheduled for Monday, with a possible reduction in the policy rate expected.

According to an announcement issued by the central bank, the MPC of the State Bank of Pakistan will convene on Monday, May 5, 2025, to decide on the monetary policy for the next two months, Express News reported.

Subsequently, the State Bank will issue a detailed monetary policy statement via a press release on the same day.

Economic experts have stated that the central bank has room to lower the interest rate by an additional 200 basis points by December 2025, which raises the likelihood of a rate cut in Monday’s meeting.

Meanwhile, according to recent media reports based on a survey conducted among financial institutions, participants have indicated expectations of at least a 50 basis-point cut, while some forecast a reduction of up to 100 basis points.

 

RELATED

Load Next Story