khabar.WIRE

Policy monitor

State Bank of Pakistan

Track State Bank of Pakistan decisions on interest rates, inflation, reserves, the rupee and banking policy.

The reporting trail

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Front view of the International Monetary Fund headquarters on Pennsylvania Avenue in Washington, D.C., with the IMF name shield above the entrancePakistan / Business & Finance

IMF shares first MEFP draft with Pakistan, flags Rs1.675trn power circular debt breach

The IMF's first MEFP draft for Pakistan's $7bn EFF review flags a Rs1.675 trillion power circular-debt breach and asks for the 200-unit power subsidy to end in favour of BISP.

The State Bank of Pakistan headquarters building in Karachi under daylight, an angular modern office tower with the central bank logo at its entrance.Pakistan / Business & Finance

Pakistan CPI inflation eased to 10.3% in September but stayed in double digits on energy costs

PBS said headline inflation eased to 10.3% year-on-year in September 2026 from 11.1% in August, with energy and transport costs keeping the annual print in double digits.

The State Bank of Pakistan building in Lahore, with its domed clock tower and arched facadePakistan / Business & Finance

IMF opens formal talks with Pakistan on fourth review of $7bn programme

Formal IMF-Pakistan policy talks begin in Islamabad on 28 September for the fourth EFF review and third RSF review, with about $1.2bn in disbursements riding on the outcome.

The International Monetary Fund headquarters building in Washington, D.C., seen from the street with flags at the entrancePakistan / Business & Finance

IMF review mission arrives in Karachi as Pakistan begins fourth EFF talks

The IMF staff mission has arrived in Karachi to begin the fourth review of Pakistan's $7 billion programme, as the Finance Ministry pushes back on 'fiscal numbers' claims.

The State Bank of Pakistan building on Mall Road in Lahore.Pakistan / Business & Finance

SBP holds policy rate at 11.5pc, flags Middle East and climate risks

The State Bank of Pakistan kept its benchmark policy rate unchanged at 11.5pc, citing renewed Middle East conflict, volatile commodities and climate risks.

Front view of the State Bank of Pakistan headquarters building in Karachi.Pakistan / Business & Finance

S&P upgrades Pakistan's sovereign credit rating to 'B' after nine years

S&P Global Ratings raised Pakistan's long-term sovereign credit rating to 'B' from 'B-', the highest in seven years, citing reforms, rebuilt reserves and fiscal consolidation.

The State Bank of Pakistan headquarters building in Karachi.Pakistan / Business & Finance

Pakistan records highest-ever $41.6bn remittances in FY26

The State Bank of Pakistan reported record worker remittances of $41.6 billion for FY26, up 8.6%, although June inflows eased from May's peak.

The State Bank of Pakistan headquarters building in Karachi.Pakistan / Business & Finance

Industry leaders warn high interest rates are stifling growth

Pakistani industry leaders warned that further monetary tightening and high borrowing costs are choking private-sector credit and industrial growth.

The International Monetary Fund headquarters in Washington, D.C., a large modern building with a glass and stone facade.Pakistan / Business & Finance

IMF staff end Pakistan visit with FY2027 budget talks open

An IMF mission led by Iva Petrova ended a 13-20 May staff visit to Islamabad, discussing the FY2027 budget, EFF and RSF reforms and a 2pc primary surplus.

A State Bank of Pakistan building with its distinctive colonnaded facade, photographed in Lahore in 2017Pakistan / Business & Finance

Pakistan's total liquid foreign reserves rise to $21.29 billion

Pakistan's total liquid foreign reserves rose to $21.29 billion in the week ended 30 April 2026, with the State Bank up $23 million at $15.85 billion, the central bank reported.

The State Bank of Pakistan building in Lahore, a pale stone building with classical columns and arched windowsPakistan / Business & Finance

Foreign investors exit Pakistan's T-bills as war shakes markets

State Bank data show more than 94 per cent of foreign investment in treasury bills left by 17 April as the Middle East war roiled Pakistan's markets.

The State Bank of Pakistan headquarters building, a modern office tower with a curved facadePakistan / Business & Finance

Pakistan's inflation returns to double digits for first time in 21 months

Consumer prices rose nearly 11 per cent year-on-year in April, the first double-digit reading in 21 months, driven by transport and perishable food costs.