Pakistan central bank holds rates at 5.75pc
Pakistan's central bank held its main policy interest rate steady at 5.75 percent on Saturday, the bank's new governor said, citing low inflation expectations and the gathering pace of economic activity.
Tariq Bajwa, who was appointed earlier this month, predicted consumer inflation to track around 4.5 to 5.5 percent for fiscal year ending in June 2018.
"This projection is explained by lower than anticipated increase in international oil prices," Bajwa said in a press conference in the city of Karachi.
Pakistan's economy is heavily sensitive to global oil prices, partly as many of the country's energy plants use furnace oil to produce electricity, and low oil prices are seen helping maintain macroeconomic stability.
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