Short-Term Interest Rates Remain Steady, Report Shows

Karachi: The State Bank of Pakistan released current Karachi Interbank Offered Rates (KIBOR) for various tenors, indicating stable short-term interest rates. These rates, which serve as a benchmark for lending between banks, showed little fluctuation across different time periods.

The one-week KIBOR bid rate stands at 10.80 percent, with an offer rate of 11.30 percent. The two-week rates are slightly lower, with bids at 10.78 percent and offers at 11.28 percent.

For longer tenors, the one-month bid rate is 10.74 percent, while the offer rate is 11.24 percent. Three and six-month rates are closely aligned, with bid rates at 10.78 percent and 10.79 percent, respectively, while offer rates are 11.03 percent and 11.04 percent.

The nine-month and one-year tenors are consistent, both showing a bid rate of 10.76 percent and an offer rate of 11.26 percent.

These rates are essential for financial institutions as they establish the cost of borrowing and lending in the short term. The steady rates suggest a stable monetary policy environment, reflecting the central bank’s efforts to maintain economic stability.