The State Bank of Pakistan raised its benchmark policy rate by 100 bps to 11.5% on April 27, 2026, surprising analysts who expected it to remain steady at 10.5%. This marked the first rate hike since June 2023, amid heightened economic uncertainty, with volatile oil prices from Middle East tensions clouding the inflation outlook. Policymakers said a tighter stance was needed to anchor inflation expectations and contain second-round effects of the current supply shock. The inflation rate in Pakistan quickened for the third month to 7.3% in March, the highest since August 2024, breaching the central bank’s 5–7% target range for the first time since October 2024, driven by energy costs, currency pressures, and structural supply constraints. The MPC assessed that the current supply shock may push inflation to double digits in the coming months before it starts to ease subsequently. However, inflation is expected to stay above the upper bound of the target range for most of FY27. source: State Bank of Pakistan

The benchmark interest rate in Pakistan was last recorded at 11.50 percent. Interest Rate in Pakistan averaged 11.62 percent from 1992 until 2026, reaching an all time high of 22.00 percent in June of 2023 and a record low of 5.75 percent in May of 2016. This page provides - Pakistan Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Pakistan Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on May of 2026.

The benchmark interest rate in Pakistan was last recorded at 11.50 percent. Interest Rate in Pakistan is expected to be 11.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Pakistan Interest Rate is projected to trend around 10.00 percent in 2027 and 7.00 percent in 2028, according to our econometric models.



Calendar GMT Reference Actual Previous Consensus TEForecast
2026-01-26 11:20 AM Interest Rate Decision 10.5% 10.5% 10% 10.0%
2026-03-09 10:00 AM Interest Rate Decision 10.5% 10.5% 10.5% 10.5%
2026-04-27 10:30 AM Interest Rate Decision 11.5% 10.5% 10.5% 10.5%
2026-06-15 10:30 AM Interest Rate Decision 11.5% 11.5%


Related Last Previous Unit Reference
Foreign Exchange Reserves 21269.00 21331.90 USD Million Apr 2026
Interbank Rate 11.19 10.42 percent Mar 2026
Interest Rate 11.50 10.50 percent Apr 2026
Loans to Private Sector 9234794.94 9173538.06 PKR Million Mar 2026
Money Supply M0 14186305.00 13790997.00 PKR Million Mar 2026
Money Supply M1 38295061.00 37289945.00 PKR Million Mar 2026
Money Supply M2 44100819.00 43098557.00 PKR Million Mar 2026
Money Supply M3 47692671.00 46667548.00 PKR Million Mar 2026


Pakistan Interest Rate
In Pakistan, interest rates decisions are taken by the State Bank of Pakistan. On 23rd of May, 2015 the discount ceiling rate was replaced by a new official interest rate, the SBP Policy rate.
Actual Previous Highest Lowest Dates Unit Frequency
11.50 10.50 22.00 5.75 1992 - 2026 percent Daily

News Stream
Pakistan Hikes Policy Rate in Surprise Move
The State Bank of Pakistan raised its benchmark policy rate by 100 bps to 11.5% on April 27, 2026, surprising analysts who expected it to remain steady at 10.5%. This marked the first rate hike since June 2023, amid heightened economic uncertainty, with volatile oil prices from Middle East tensions clouding the inflation outlook. Policymakers said a tighter stance was needed to anchor inflation expectations and contain second-round effects of the current supply shock. The inflation rate in Pakistan quickened for the third month to 7.3% in March, the highest since August 2024, breaching the central bank’s 5–7% target range for the first time since October 2024, driven by energy costs, currency pressures, and structural supply constraints. The MPC assessed that the current supply shock may push inflation to double digits in the coming months before it starts to ease subsequently. However, inflation is expected to stay above the upper bound of the target range for most of FY27.
2026-04-27
Pakistan Keeps Policy Rate Steady at 10.5%
The State Bank of Pakistan kept its benchmark policy rate unchanged at 10.5% in March, as expected, extending the pause in its easing cycle. Policymakers cited heightened economic uncertainty as oil prices surged amid escalating tensions in the Middle East. Pakistan remains particularly vulnerable to rising energy costs due to its heavy reliance on imported fuel. A prolonged energy shock could also pressure the rupee and complicate the country’s commitments under its IMF stabilization program. Analysts warn the recent fuel price increase could push inflation to around 9.25% in the second quarter, with headline inflation having risen to 7% in February, the highest since October 2024. Meanwhile, the government’s 4.2% GDP growth target for the fiscal year ending July is becoming increasingly challenging amid the Middle East crisis, severe monsoon floods that displaced roughly three million people, and supply-chain disruptions linked to clashes with Afghanistan.
2026-03-09
Pakistan Holds Policy Rate at 10.5%
The State Bank of Pakistan kept its benchmark policy rate at 10.5% in January, surprising markets that had expected a cut to 10% following two reductions last year. Headline inflation eased to a three-month low of 5.6% in December, remaining within the 5–7% target range, with the central bank projecting inflation to stay within this range through FY26 and FY27. Economic activity remained robust, with Q1-FY26 GDP rising 3.7% year-on-year, up from 1.6% in the same period last year, driven primarily by industrial and agricultural sectors. GDP growth for FY26 is projected at 3.75–4.75%. On the external front, the current account deficit widened, but steady workers’ remittances and resilient ICT exports helped contain pressures. FX reserves have been building and are expected to exceed $18 billion by FY26-end. The MPC noted the current rate supports price stability and growth, highlighting coordination with fiscal policy and structural reforms.
2026-01-26