New monetary policy today

KARACHI: State Bank of Pakistan might cut the discount rate by 1 to 1 ½ percent in its new monetary policy which will be announce today.

Senior bankers told Geo News that the Central Bank would review the discount rate in the backdrop of the fall in inflation rate and it was being hoped that the discount rate would be slashed by 1 to 1 ½ percent in the new monetary policy to be announced on August 15 and inflation new index also indicative of the flexibility in monetary policy.

According to Federal Statistics Department data on inflation rate, which were released in July, inflation fell down to the 19 months lows 11.17 percent as against 13.13 percent in June.