Pakistan inflation seen slowing to 5.8%-6.8% in November, ministry says

A shopkeeper waits for customers at a market in Karachi, Pakistan on January 10, 2022. (AFP/File)
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Updated 28 November 2024
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Pakistan inflation seen slowing to 5.8%-6.8% in November, ministry says

  • Inflation may further slow to 5.6 percent-6.5 percent in December, says ministry
  • Pakistan slashed interest rates by 250 basis points earlier in November

KARACHI: Inflation in Pakistan is expected to slow to 5.8 percent-6.8 percent in November, and then further to 5.6 percent-6.5 percent in December, the finance ministry said in its monthly economic report on Wednesday.

The South Asian country slashed interest rates by 250 basis points earlier in November in a bid to revive a sluggish economy amid a big drop in the rate of inflation.

Inflation clocked in at 7.2 percent in October, a sharp drop from a multi-decade high of nearly 40 percent in May 2023.


Pakistan bank enables Shariah-compliant digital payment facility for passengers at Islamabad airport

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Pakistan bank enables Shariah-compliant digital payment facility for passengers at Islamabad airport

  • Pakistan is a cash-dominated market where a significant portion of transactions in the informal sector are made without any taxes, officials say
  • The move comes amid Pakistan’s efforts to introduce a cashless model at airports under which only digital service providers can provide services

KARACHI: Aik, Pakistan’s first Islamic digital bank, has enabled fully digital payments at Islamabad International Airport to offer travelers and passengers secure, Shariah compliant digital transaction facility.

The development comes amid Pakistan’s efforts to introduce a cashless model at airports across the country, under which only digital service providers can provide services to customers.

Aik, a subsidiary of Bank Islami, said it has onboarded merchants across the Islamabad airport and integrated QR code deployments at key touchpoints to allow passengers and visitors to make secure, seamless, and Shariah-compliant digital transactions at all counters, retail outlets, and service points.

It said the implementation complies with the regulations and framework set by the State Bank of Pakistan (SBP) and is a working model for a large-scale adoption of cashless systems in public infrastructure.

“This deployment reflects our commitment to building practical digital infrastructure that improves everyday transactions,” Aik Chief Officer Ashfaque Ahmed said in a statement.

“By enabling a fully cashless environment at a major national gateway, we are supporting efficiency, transparency, and financial inclusion at scale. This is not only a project; it is a foundation for Pakistan’s cashless future.”

Pakistan is a cash-dominated market where a significant portion of transactions, particularly in the informal sector, are conducted in cash. Officials say many of these transactions are aimed at avoiding taxes.

In recent years, the SBP has taken steps to ensure a transition toward a more cashless economy so that transactions are more traceable, reducing chances of tax evasion and corruption.

By digitizing Islamabad airport, aik said it continues to invest in secure and accessible financial solutions that “expand digital participation and support national economic modernization.”