The State Bank of Pakistan raised its benchmark policy rate by 50 basis points to 12.0% at its October 26, 2026 meeting, marking its first increase since April, as rising energy and food costs threatened to delay disinflation. The decision reflected concerns over inflationary pressures stemming from the Middle East conflict, with oil prices above $100 per barrel increasing the risk of second-round effects across the economy. Annual inflation eased to 10.3% in September from 11.1% in August but remained above the central bank’s 5%-7% target range for seven consecutive months. Meanwhile, higher borrowing costs could weigh on the economic recovery, with the central bank revising its GDP growth forecast to 3.7% for the fiscal year ending June 2027. source: State Bank of Pakistan

The benchmark interest rate in Pakistan was last recorded at 12 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 November of 2026.

The benchmark interest rate in Pakistan was last recorded at 12 percent. Interest Rate in Pakistan is expected to be 12.00 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 11.00 percent in 2027 and 9.00 percent in 2028, according to our econometric models.



Calendar GMT Reference Actual Previous Consensus TEForecast
2026-07-27 11:00 AM Interest Rate Decision 11.5% 11.5% 11.5%
2026-09-14 11:00 AM Interest Rate Decision 11.5% 11.5% 11.5% 11.5%
2026-10-26 10:55 AM Interest Rate Decision 12.0% 11.5% 11.5%
2026-12-14 10:30 AM Interest Rate Decision 12%
2027-01-25 10:30 AM Interest Rate Decision
2027-03-08 10:30 AM Interest Rate Decision


Related Last Previous Unit Reference
Foreign Exchange Reserves 26754.20 26336.50 USD Million Oct 2026
Interbank Rate 12.54 12.12 percent Oct 2026
Interest Rate 12.00 11.50 percent Oct 2026
Loans to Private Sector 9529409.09 9245113.55 PKR Million Sep 2026
Money Supply M0 14180398.00 14428792.00 PKR Million Sep 2026
Money Supply M1 40159857.00 39562529.00 PKR Million Sep 2026
Money Supply M2 46363462.00 45707371.00 PKR Million Sep 2026
Money Supply M3 50139926.00 49450970.00 PKR Million Sep 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
12.00 11.50 22.00 5.75 1992 - 2026 percent Daily

News Stream
Pakistan Central Bank Raises Policy Rate to 12%
The State Bank of Pakistan raised its benchmark policy rate by 50 basis points to 12.0% at its October 26, 2026 meeting, marking its first increase since April, as rising energy and food costs threatened to delay disinflation. The decision reflected concerns over inflationary pressures stemming from the Middle East conflict, with oil prices above $100 per barrel increasing the risk of second-round effects across the economy. Annual inflation eased to 10.3% in September from 11.1% in August but remained above the central bank’s 5%-7% target range for seven consecutive months. Meanwhile, higher borrowing costs could weigh on the economic recovery, with the central bank revising its GDP growth forecast to 3.7% for the fiscal year ending June 2027.
2026-10-26
Pakistan Central Bank Leaves Key Rate Unchanged
The State Bank of Pakistan left its benchmark policy rate unchanged at 11.5% at its September 14th, 2026 meeting, keeping borrowing costs steady for a third consecutive meeting and in line with market expectations. Credit-rating upgrades and a record USD 3 billion bond sale underscored improvements in investor confidence. Still, energy-dependent Pakistan remains vulnerable to energy shocks following a surge in global oil prices due to the conflict in the Middle East, threatening to increase import costs and strain external finances. Headline inflation jumped to 11.15% in August, more than tripling from 3.1% a year earlier and moving further above the SBP’s target range of 5-7%.
2026-09-14
Pakistan Central Bank Holds Policy Rate at 11.5%
The State Bank of Pakistan left its benchmark policy rate unchanged at 11.5% at its July 27th, 2026 meeting, marking a second consecutive pause as policymakers cited an improving macroeconomic outlook. Headline inflation eased to 11.1% in June from 11.7% in May, reflecting lower global energy prices and favorable electricity tariff adjustments. Economic growth slowed to 4.0% in the first quarter of 2026, weighed by the Middle East conflict and the resulting rise in global energy prices. Looking ahead, the central bank expects stronger commodity-producing sectors to support services activity, with FY2027 GDP growth projected at 3.5%-4.5%. Inflation is forecast to gradually ease toward the upper end of the 5%-7% target range by June 2027. However, the outlook remains subject to uncertainty regarding geopolitical tensions and weather conditions, including El Niño effects, and potential fiscal slippages.
2026-07-27