The State Bank of Pakistan will determine the new interest rate in its monetary policy committee meeting on July 27, reported 24NewsHD TV channel on Friday.

The monetary policy committee will review the economic indicators of the past two months and determine the interest rate. 

On 26 June 2020, the State Bank had fixed the interest rate at 7% after lowering 1% interest rate. Since then, the interest rate remains unchanged at 7%. 

According to a research survey report, from March 18 to June 26, 2020, there was a 6.25% reduction in the interest rate due to negative impact of Covid-19 pandemic on economy. Most of the economic gurus are seeing the interest rate unaffected at 7%. 

The research report also predicts the exchange rate of dollar will remain between Rs 160 to Rs165 by the end of 2021.

Reporter Ashraf Khan