The State Bank of Pakistan (SBP) is set to hold its key meeting on September 15 under the chair of central bank President Jamil Ahmed to review Monetary Policy Report (MPR), reported 24NewsHDTV Channel.
According to Topline Research’s survey on monetary policy, 72 percent of respondents expect no change in interest rates. After floods, there is possibility that inflation rate will increase further as floods have destroyed ready crops in Punjab. Moreover, inflation rate may disturb the supply chain of commodities.
Only 28 percent expected a 25 basis points cut in interest rates, the report said. The 2010-11 floods also caused difficulties in sowing the country's main crops as 2010-2011 floods reduced wheat and rice production by 18 percent.
Reporter: Ashraf Khan