State Bank Pakistan Cuts Key Interest Rate Due Coronavirus Chaos

The State Bank of Pakistan and their Monetary Policy Committee decided to cut the interest rate by 2 percent, currently being 9 from the prior 11 percent. This move to reduce the rate is because of the coronavirus pandemic with the interest rate decreasing by 4.25 percent alone over a period of a month.

The SBP has also declared that in the following months there will be a decrease in prices and inflation, with the petroleum prices coming down and provision of loaned to health facilities in contagion efforts. These decisions taken by the State Bank are precedented to help the economy from greater suffering due to the intensifying situation.