KARACHI: State Bank of Pakistan (SBP) on Monday issued the Karachi Interbank Offered Rates (KIBOR) as on August 21, 2023.

Following are the latest KIBOR rates:

Tenor	Bid	Offer
1 – Week	21.63	22.13
2 – Week	21.76	22.26
1 – Month	22.00	22.50
3 – Month	22.91	23.16
6 – Month	22.93	23.43
9 – Month	22.93	23.43
1 – Year	22.94	23.44

KIBOR is a key benchmark for Pakistan’s banking and financial markets and is widely used in determining interest rates on various rupee-denominated loans and financing facilities. The rates published by the State Bank of Pakistan provide an indication of the cost of funds in the interbank market across different maturities.

The latest figures show that short-term KIBOR rates remained above 21 percent, while rates for longer tenors were close to 23 percent. The difference between the bid and offer rates reflects the pricing range at which banks are prepared to borrow and lend funds. Changes in KIBOR can influence borrowing costs for businesses and consumers, particularly where financing is linked to a floating benchmark. Banks, companies and investors therefore closely monitor daily KIBOR movements when assessing financing costs and making financial decisions. The benchmark also provides greater transparency in the pricing of credit and other financial instruments in Pakistan.