further cut in sbp policy rate expected

KARACHI: The announcement of Monetary Policy for the next two months is likely to be made on March 21 by the State Bank of Pakistan (SBP).The experts are expecting a further cut in the policy rate in view of improvement in the country’s foreign exchange reserves, stability in rupee value and the decline of inflation rate to 3 percent.They are expecting that the central bank might ratchet down the discount rate by 0.5 to 1 percent.The economic analysts are of the view that a further cut in the policy rate of the SBP will not only provide additional impetus to the business and economic activities but also help boost employment in the country.