State Bank of Pakistan has announced to cut policy rate by one percent reducing it from 20.5 percent to 19.5 percent.

Addressing a press conference in Karachi today, Governor State Bank of Pakistan Jameel Ahmed said the central bank’s Monetary Policy Committee met today and reviewed the current economic developments.

He said the committee noted that the inflation has declined from a high of 38 percent in May to 12.6 percent last month and the current account deficit has also been reduced.

The governor said that the country’s economy is on the path of progress and the import bill has been increased.

Jameel Ahmed stated that the inflation would remain between 11.5 to 13.5 during the current financial year.