Karachi: State Bank of Pakistan (SBP) on Friday announced a monetary policy for next two months as it fixed an interest rate on 16 percent.
The SBP has hiked an interest by one percent while apprising the reason for an uptick in the interests rate, the SBP said that the pressure of inflation is continues and more than the expectation.
1/3 At today’s meeting, the Monetary Policy Committee (MPC) decided to raise the policy rate by 100 basis points to 16%. https://t.co/E4scWh3Eeo
— SBP (@StateBank_Pak) November 25, 2022
It said that in the previous month of October sell of cement, petroleum products and cars were increased. While keeping the risks facing the financial stability in control the government took the decision.
The purpose of the decision for rising the interest rate is to control the rising inflation. The SBP added that floods destroyed crops owing to which the prices of food commodities increased.
