Photonews Logo Photonews logo
  • Home
  • Pakistan
    • Punjab
    • Sindh
    • Khyber Pakhtunkhwa
    • Azad Jammu Kashmir
    • Balochistan
    • Gilgit – Baltistan
  • World
  • Business
  • Entertainment
  • Videos
    Gen V Season 2 trailer
    Videos

    Gen V Season 2 Trailer Cast, Plot, Premiere Details

    July 26, 2025 3 Min Read
    IShowSpeed Daniel La Belle race
    Videos

    IShowSpeed Beats Daniel La Belle in 40-Meter Race, Hits 41M Subscribers

    June 24, 2025 2 Min Read
    Cardi B new single Outside
    Videos

    Cardi B’s ‘Outside’ Single Sparks Buzz Over Offset and Stefon Diggs

    June 20, 2025 2 Min Read
  • Sports
  • Technology
  • Offbeat
  • Blog
  • Contact
Reading: SBP Keeps Policy Rate at 11% Amid Global Tensions in 2025
PhotoNews Pakistan PhotoNews Pakistan
Font ResizerAa
Search
  • Home
  • Pakistan
    • Punjab
    • Sindh
    • Khyber Pakhtunkhwa
    • Balochistan
    • Azad Jammu Kashmir
    • Gilgit – Baltistan
  • World
  • Business
  • Entertainment
  • Videos
  • Sports
  • Technology
  • Offbeat
  • Blog
  • Contact
Have an existing account? Sign In
Follow US
© 2022 Photonews. All Rights Reserved.
SBP Policy Rate for June 2025
PhotoNews Pakistan > Business > SBP Keeps Policy Rate at 11% Amid Global Tensions in 2025
Business

SBP Keeps Policy Rate at 11% Amid Global Tensions in 2025

Web Desk
By Web Desk Published June 16, 2025 2 Min Read
Share
State Bank of Pakistan's Emblem
SHARE

On June 16, 2025, the State Bank of Pakistan (SBP) announced its decision to maintain the policy rate at 11%, citing inflation risks driven by rising global commodity prices amid escalating Iran-Israel tensions. The move follows a 1,000 basis-point (bps) cut from 22% since June 2024, as reported by SBP.

The Monetary Policy Committee (MPC) noted that May 2025’s inflation rate of 3.5% year-on-year aligned with expectations, while core inflation slightly declined. However, Israel’s strikes on Iran on June 13 triggered a sharp oil price surge, raising concerns about imported inflation. The SBP emphasised caution, stating, “The MPC decided to keep the policy rate unchanged at 11%” to mitigate potential economic pressures from a prolonged conflict.

Initial brokerage forecasts anticipated a rate cut, but fears of a broader Middle East conflict prompted revisions. A Reuters snap poll showed that 11 of 14 analysts expected the rate to remain at 11%, with two predicting a 100-bps cut and one a 50-bps cut. The headline inflation, which hit a record low of 0.3% YoY in 2024, had dropped from 40% in May 2023, per Reuters.

Read: State Bank of Pakistan Cuts Interest Rate to 11%

The Iran-Israel conflict has spiked crude oil prices, a critical concern for Pakistan, which relies heavily on imports. A prolonged conflict could tighten global supplies, exacerbating inflation and straining the economy. Social media discussions on X reflect public worry, with users noting, “Oil prices are hurting our economy again.” The SBP’s cautious stance aims to stabilise the economy amid these uncertainties.

The SBP’s decision underscores Pakistan’s delicate balance between economic recovery and external shocks. Maintaining the 11% rate reflects a strategic response to global volatility, prioritising inflation control.

TAGGED:Featured
Share This Article
Facebook Twitter Pinterest Whatsapp Whatsapp LinkedIn Email Copy Link Print
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Advertisement

HBL Saving Made Easy
HBL Saving Made Easy

Recent Posts

Quaid-i-Azam University Hostel Raid

Islamabad Police Arrest Students at Quaid-i-Azam University Hostel Raid

Australia West Indies T20

Australia Secures 5-0 T20 Series Sweep Against West Indies

Death Stranding age verification bypass

Death Stranding Photo Mode Bypasses UK Age Verification Systems

Post Archives

More Popular from Photonews

Pakistan gold prices July 2025
Business

Pakistan Gold Prices Surge Amid Global Dip

2 Min Read
Lionel Messi Coldplay jumbotron
Entertainment

Messi Appears On KissCam At Coldplay Concert With Wife

3 Min Read
Faisalabad Electric Supply Company Apna Meter, Apni Reading' App
Punjab

FESCO Launches ‘Apna Meter, Apni Reading’ App

2 Min Read
Pakistan

PIA Launches Special Arbaeen Flights to Najaf Amid Pakistan’s Road Travel Ban

On July 27, 2025, Pakistan International Airlines (PIA) announced special flights to Najaf, Iraq, for Arbaeen…

July 27, 2025
Top NewsWorld

NYC Shooting: Shane Tamura Identified as Gunman in Midtown Rampage

On July 28, 2025, a tragic shooting at 345 Park Avenue in Midtown Manhattan, a gunman,…

July 29, 2025
World

Two Stabbed to Death Near Tower Bridge in London

On July 28, 2025, two men died in a stabbing near Tower Bridge, a popular tourist…

July 29, 2025
Sindh

Karachi Baldia Town Couple Welcomes Quintuplets

A couple from Baldia Town in Karachi, Adnan Sheikh and his wife, recently welcomed quintuplets—three girls…

July 23, 2025
PhotoNews Pakistan

Always Stay Up to Date

Subscribe to our newsletter to get our newest articles instantly!

Categories

  • World
  • Pakistan
  • Punjab
  • Sindh
  • Khyber Pakhtunkhwa
  • Balochistan
  • Azad Jammu Kashmir

 

  • Top News
  • Business
  • Entertainment
  • Sports
  • Videos
  • Tech
  • Offbeat
  • Blog

© 2024 Phototnews
All Rights Reserved.

Welcome Back!

Sign in to your account

Lost your password?