A meeting of the monetary policy committee (MPC) of the State Bank of Pakistan (SBP) will be held in Karachi today to fix the interest rate for the next three months, reported 24NewsHD TV channel.
SBP Governor Jamil Ahmad will preside over the meeting. The meeting will review important economic statistics.
The only increase in the policy rate during the current fiscal year came in the previous review on April 27, 2026, when the SBP raised the benchmark rate by 100 basis points to 11.5 percent.
The increase was attributed to geopolitical tensions following the conflict in April, which pushed oil prices higher and disrupted global supply chains.
However, analysts said developments over the past month have reduced concerns over a prolonged conflict.
Prospects for a deal between the US and Iran have improved, while a ceasefire remains in place despite sporadic attacks by both sides. Iran also targeted US bases in several Gulf countries, although reports of ongoing diplomatic efforts have helped calm markets.