KARACHI: Most experts believe the central bank will leave the interest rate unchanged at 15 per cent in its next monetary policy meeting scheduled for Nov 25, a survey showed on Thursday.

According to the survey, conducted by brokerage house Topline Research, 79 per cent of the participants expects no change in the policy rate in the upcoming monetary policy. Besides, around 16pc participants think the State Bank of Pakistan (SBP) will increase the interest rate, whereas 5pc foresee a reduction.

Asked how they view the policy rate by the end of the ongoing fiscal year, most market participants think the policy rate will be less than what it is now by June 2023. About 35pc respondents expect the policy rate to be in the range of 14-15pc, 27pc expect the rate to be in the range of 13-14pc, and 19pc anticipate it to be in the range of 12 -13pc by the close of the fiscal year.

In terms of the outlook for the current account deficit in FY23, 62pc of the participants expect the gap to be in a range of $8bn-$12bn, 21pc expect it to be below $8bn, whereas 16pc participants expect the gap to be over $12bn.

Published in Dawn, November 18th, 2022