Inflation down, growth rate increases

SBP keeps benchmark interest rate unchanged at 6pc; expresses concern over deceleration in growth of deposits, acceleration in currency in circulation

KARACHI: The central bank on Saturday kept its policy rate unchanged at 6 percent for a second straight review after several consecutive cuts last year, despite the IMF’s (International Monetary Fund) positive assessments of the country’s finances, low inflation and a stable rupee. 

The State Bank of Pakistan (SBP), however, cut inflation forecasts for the current fiscal year to 3 to 4 percent and kept its predictions for GDP “to maintain the previous year’s growth momentum.”