Pakistan Keeps Policy Rate at 10.5% as Oil Shock and Middle East War Cloud Economic Outlook
Pakistan’s central bank maintains the policy rate at 10.5% despite rising inflation and oil prices triggered by the Middle East conflict, raising questions about the country’s economic outlook and monetary strategy.
From Hormuz to Karachi: War, Oil, and the Economic Fault Lines Beneath Pakistan
Rising tensions around the Strait of Hormuz are sending oil price signals across global markets, with direct consequences for Pakistan’s inflation, currency stability, energy imports, and overall economic outlook.
Pakistan’s Economic Stability Threatened by Energy Dependence on Strait of Hormuz
Pakistan’s reliance on oil imports via the Strait of Hormuz exposes the country to severe economic risks, highlighting the urgent need for energy diversification, renewable investment, and strategic reserves.
Pakistan’s Banking Sector Carries 54% Effective Tax Burden as Fiscal Pressures Mount
Pakistan’s banking industry paid over PKR 1.127 trillion in FY25 taxes as effective rates climbed above 54%, highlighting growing fiscal dependence on formal financial institutions amid IMF-driven revenue reforms and low financial inclusion.
Pakistan’s Economic Freedom Score Faces Structural Strain Despite Reform Signals
Pakistan’s ranking in the Heritage Institute’s 2025 Index of Economic Freedom reveals deep-rooted structural challenges despite recent reform efforts, highlighting tensions between fiscal policy, taxation, labour markets, and institutional credibility.
Pakistan’s Youth Bulge and the Jobs Imperative: Why the Next Decade Will Define Economic Stability
As Pakistan faces a surge of young entrants into the labour market, World Bank President Ajay Banga has warned that failure to create millions of jobs annually could push the economy toward prolonged instability. This article examines the scale of the challenge, the structural constraints holding back employment growth, and the policy shifts needed to turn a demographic surge into sustainable economic momentum.
Crypto’s Compliance Reckoning: How Digital Assets Are Reshaping Bank Risk Frameworks
As crypto activity shifts from the margins to the mainstream, banks face growing regulatory pressure to treat digital asset exposure as a core compliance and prudential risk. This advisory analysis examines how evolving regulations, institutional participation, and Pakistan’s move toward formal crypto oversight are reshaping compliance expectations for financial institutions.
Nikkei Asia Sheds Lights On Pakistan’s Unease of Doing Business
Nikkei Asia reports that Pakistan’s cost of doing business is 34% higher than regional peers due to elevated energy prices, taxes, interest rates, and regulatory hurdles, discouraging entrepreneurship and pushing more workers toward salaried employment.
Pakistan’s Rising Risk Profile in a Fragmented Global Economy: What the Global Risks Report 2026 Signals
The World Economic Forum’s Global Risks Report 2026 highlights how geopolitical rivalry, economic volatility, misinformation, climate stress and weak institutions are reshaping Pakistan’s risk landscape, demanding deeper governance reform and long-term resilience strategies.
Pakistan 2025 in Review: Economic Stabilization, Policy Reforms, and Market Resilience
Pakistan’s 2025 was a year of measured economic stabilization, policy reforms, and market resilience. Key developments included monetary easing, structural reforms in the energy sector, strengthened international partnerships, and a 51% surge in the KSE-100 Index, setting the stage for sustainable growth in 2026.