SBP Ties Future Interest Rate Cuts to IMF Review and Flood Impact Assessment
The State Bank of Pakistan (SBP) has indicated that future interest rate reductions will depend on the outcome of the IMF review and the economic repercussions of recent floods, as the central bank adopts a cautious stance despite stabilizing inflation trends.
Pakistan Manufacturing PMI Falls Below 50 in September Amid Flood-Driven Disruptions
Pakistan’s manufacturing sector contracts for the first time since May 2024, with the HBL PMI falling to 48.0 in September due to flood-related disruptions, higher costs, and reduced orders, though optimism for future growth remains.
ADB Forecasts Pakistan’s Economy to Grow in FY2026 with US Trade Deal Support, Flood Risks Remain
The Asian Development Bank projects Pakistan’s economy to grow 3% in FY2026, supported by reforms and a US trade deal, but warns flood risks could slow growth and pressure inflation.