KARACHI, September 14, 2026: The State Bank of Pakistan (SBP) has kept its key policy rate unchanged at 11.5%, with the Monetary Policy Committee (MPC) deciding to maintain the existing monetary policy stance.
The decision was taken at the MPC meeting held on Monday, marking the second consecutive meeting at which the central bank has maintained the benchmark rate at 11.5%. The rate had previously been raised by 100 basis points in April 2026.
According to reports on the decision, seven of the 10 MPC members supported keeping the rate unchanged. The committee considered the current monetary policy stance appropriate for guiding inflation towards the SBP’s medium-term target range of 5–7%.
The decision comes amid a challenging economic environment, with inflationary pressures and external risks continuing to influence the outlook. Recent increases in global energy prices and geopolitical tensions have added uncertainty to the inflation outlook, making a cautious monetary policy stance important for the central bank.
The policy rate is a key benchmark for borrowing costs across Pakistan’s financial system. Keeping the rate unchanged means there will be no immediate change in the central bank’s benchmark monetary stance, while lending rates and other market interest rates will continue to respond to prevailing financial conditions.
The SBP’s decision also reflects the central bank’s focus on maintaining price stability while supporting sustainable economic activity. The policy rate will remain an important factor for businesses, investors, borrowers and financial markets as the central bank continues to assess inflation, economic growth and external-sector developments.
The SBP has scheduled its next Monetary Policy Committee meeting for October 26, 2026, when policymakers will reassess economic and financial conditions
