Karachi, Pakistan – June 17, 2025: The State Bank of Pakistan (SBP) expects to post a profit of Rs. 2.4 trillion for the fiscal year 2024-25 (FY25), aligning with the federal government’s target. This substantial figure is attributed to elevated interest rates and significant exchange rate gains, according to SBP Governor Jameel Ahmed.
Speaking at a briefing session on Monday, Governor Ahmed confirmed that the profit will be transferred to the government at the beginning of FY26, following the completion of the central bank’s audit and board approval.
Meanwhile, the SBP has decided to keep the policy rate unchanged at 11 percent, citing persistent inflation risks and ongoing geopolitical uncertainty. The central bank noted that while the government’s GDP growth target of 4.2 percent for FY26 is “achievable,” it remains a challenging goal. A modest recovery is anticipated in the industrial and services sectors to support this growth.
Regarding Pakistan’s external obligations, total repayments for FY25 amount to $25.8 billion. Of this, only $400 million remains due and is expected to be cleared within the next two weeks. A similar level of repayments is projected for FY26. The SBP aims to maintain foreign exchange reserves near $14 billion by the end of June 2025, supported by anticipated inflows within the current month.
In a positive development, remittance inflows are projected to rise significantly, reaching $38 billion in FY25—up from $31.3 billion in the previous fiscal year.
The SBP also confirmed it is on course to meet its June Net International Reserves (NIR) target, having already surpassed the milestone set for December 2024. Additionally, recent open market operations (OMOs) have increased temporarily due to heightened currency demand during Eid and timing gaps between external inflows and repayments.
The SBP’s fiscal outlook reflects continued monetary vigilance and a focus on external stability amid ongoing domestic and global economic challenges.
