State Bank Of Pakistan to Continue Strict Monetary Policy

Saturday, January 31, 2009 at 6:26 pm

State Bank Of Pakistan to Continue Strict Monetary Policy Governor of State Bank Saturday says that the strict monetary policy will be continued and the central bank’s discount rate will be maintained at 15 percent.

The governor highlighted the need of a stable policy for economic development while announcing the Monetary Policy of the central bank.

Saim Raza said that the board of directors of the bank have decided to review the monetary policy quarterly instead of six months.

The governor announced that the discount rate will stay at existing 15 percent.

He said the tight monetary policy has produced positive results within past few years, which has helped to contain the inflation in the country.

The SBP governor said that the recent indicators have noticed lowering in the price hike. He further said that increase in demand has hiked the imports.

He termed decreasing manufacturing and liquidity problems as big challenges.

The SBP governor said that the economic growth would remain at 3.7 percent.