The State Bank of Pakistan has increased interest rate by 250 basis points to 12.25 percent for next two months. 

SBP's Monetary Policy Committee, in its meeting on Thursday at State Bank's headquarters in Islamabad, decided for upward revision of the policy rate.                                                        

It also noted that SBP is in the process of taking further actions to reduce pressures on inflation and the current account.

The Monetary Policy Committee noted that today’s decisive actions, together with a reduction in domestic political uncertainty and prudent fiscal policies should help ensure that Pakistan’s robust economic recovery from Covid-19 remains sustainable.