Pakistan central bank raises key policy rate by 300 bps to 20pc

Pakistan's central bank raised its key interest rate on Thursday by 300 basis points, higher than expected, citing rising inflation.

The key rate of the State Bank of Pakistan now stands at 20 per cent, its highest level since October 1996, reports Reuters.

In its last policy meeting in January the bank raised the rate by 100 bps to 17 per cent. It has now raised rates by a total of 1,025 bps since January 2022.