Managing worsening inflation

On March 9, the State Bank of Pakistan (SBP) decided to keep the policy interest rate unchanged at 10.5pc, a decision that arrived as the macroeconomic outlook became “quite uncertain following the outbreak of the war in the Middle East”. The closure of the Strait of Hormuz following the escalation compounded war-related worries for oil-import-dependent Pakistan. War-risk premiums have reportedly risen manifold since the conflict began, while obtaining insurance coverage for import cargoes ha...

By none@none.com (Mohiuddin Aazim)