SBP to Post Rs. 2.4 Trillion Profit This Fiscal Year: SBP Governor

The State Bank of Pakistan (SBP) expects to post Rs. 2.4 trillion in profit for FY25, matching the government’s target and driven by high interest rates and exchange gains. The profit will be transferred to the government in early FY26 after audit and board approval, SBP Governor Jameel Ahmed said in a briefing session on Monday. The SBP kept the policy rate unchanged at 11 percent due to inflation risks and geopolitical uncertainty. It said the 4.2 percent GDP growth target for FY26 is achievable but challenging, with recovery expected in industry and services. Total external repayments for FY25 stand at $25.8 billion, with only $400 million remaining to be cleared within two weeks. A similar repayment level is expected in FY26. The SBP aims to maintain reserves near $14 billion by June-end, supported by expected inflows this month. Remittances are projected to hit $38 billion in FY25, up from $31.3 billion. The SBP is on track to meet its June net international reserves (NIR) target, having already exceeded the December 2024 target. Open market operations (OMO) have temporarily increased due to Eid-related currency demand and timing gaps between inflows and repayments.