Pakistan Interest Rates: Policy Rate, KIBOR and Government Yields

The rate the State Bank of Pakistan sets, what banks charge each other (KIBOR) and what the government pays to borrow, from three months to ten years. Business loans are priced off KIBOR, and every PSX valuation is set against these rates.

Latest data: 13 Oct 2026

Policy rate
11.50%
+1.00 pp
Since Apr 2026
KIBOR 3M
12.01%
unchanged vs 12 Oct
13 Oct 2026
KIBOR 6M
12.45%
+0.03 pp vs 12 Oct
13 Oct 2026
KIBOR 1Y
12.78%
+0.03 pp vs 12 Oct
13 Oct 2026
3M yield
11.74%
+0.01 pp vs 13 Oct
14 Oct 2026
1Y yield
12.46%
+0.01 pp vs 13 Oct
14 Oct 2026
5Y yield
12.80%
unchanged vs 13 Oct
14 Oct 2026
10Y yield
12.83%
+0.01 pp vs 13 Oct
14 Oct 2026

Rates over time

KIBOR is the offer rate. Tap a name to show or hide it.

Latest

Government yield curve

Yield by maturity, from 3-month T-bills to 10-year PIBs

13 Oct 202614 Jul 202613 Oct 2025
10.5%11%11.5%12%12.5%13%13.5%3M1Y5Y10Y11.73%12.45%12.80%12.82%

SBP policy rate decisions

11.50% since Apr 2026; last decision 14 Sep 2026

Next MPC meetings: 26 Oct 2026 · 14 Dec 2026

DecisionPolicy rateChange
14 Sep 202611.50%Held
27 Jul 202611.50%Held
Jun 202611.50%Held
Apr 202611.50%+1.00 pp
Mar 202610.50%Held
Jan 202610.50%Held
Dec 202510.50%−0.50 pp
Oct 202511.00%Held
Sep 202511.00%Held
Jul 202511.00%Held
Jun 202511.00%Held
May 202511.00%−1.00 pp

KIBOR and government yields, last 15 days

DateKIBOR 3MKIBOR 6MKIBOR 1Y3M yield1Y yield5Y yield10Y yield
13 Oct 202612.0112.4512.7811.7312.4512.8012.82
12 Oct 202612.0112.4212.7511.7312.4512.8012.82
9 Oct 202611.9912.4112.7311.7212.4512.7812.81
8 Oct 202611.9812.3812.6811.7612.4512.8212.80
7 Oct 202611.9712.3812.6811.7612.4512.8112.79
6 Oct 202611.9812.3912.6811.7612.4712.8012.78
5 Oct 202611.9712.3912.6811.7612.4812.8612.82
2 Oct 202611.9512.3512.6411.7512.4112.8212.80
1 Oct 202611.9412.2612.54––––
30 Sep 202611.8512.0812.4311.6412.2012.7212.74
29 Sep 202611.8312.0512.4311.6312.1912.7812.80
28 Sep 202611.7912.0212.4111.5812.1812.7712.77
25 Sep 202611.7811.9812.3811.5312.1412.6412.67
24 Sep 202611.7711.9812.3711.5212.1112.5712.63
23 Sep 202611.7511.9612.3611.4912.0412.3412.48

Percent a year. KIBOR is the offer side; yields are mid rates.

Reading interest rates

SBP policy rate
The rate the State Bank of Pakistan sets at its monetary policy meetings to steer the economy. Borrowing costs across the country move with it.
KIBOR
The Karachi Interbank Offered Rate: what banks charge each other. Most business loans and many car and home loans are priced as KIBOR plus a margin.
Government yields
What the government pays to borrow at each maturity, from three-month T-bills to ten-year PIBs. The curve shows where the market expects rates to go.

Questions about Pakistan interest rates

What is KIBOR?

The Karachi Interbank Offered Rate, the rate at which banks lend to each other for terms up to a year. It is set every business day, and loans are usually priced as KIBOR plus a margin.

How often does the SBP change the policy rate?

At its monetary policy meetings, held several times a year. Each decision is announced with a statement; the rate can also be left unchanged.

Why do interest rates matter for the stock market?

Lower rates make borrowing cheaper for companies and make shares look better value against bank deposits and bonds. Banks are the exception that cuts both ways: their margins follow KIBOR.

Source: State Bank of Pakistan. Each figure shows the period it is for: the series are published on their own schedules, so some are more recent than others.