KARACHI: State Bank of Pakistan (SBP) on Monday issued the Karachi Interbank Offered Rates (KIBOR) as on November 13, 2023.
Following are the latest KIBOR rates:
| Tenor | Bid | Offer |
| 1 – Week | 21.68 | 22.18 |
| 2 – Week | 21.67 | 22.17 |
| 1 – Month | 21.64 | 22.14 |
| 3 – Month | 21.35 | 21.60 |
| 6 – Month | 21.44 | 21.69 |
| 9 – Month | 21.44 | 21.94 |
| 1 – Year | 21.46 | 21.96 |
The Karachi Interbank Offered Rate (KIBOR) is a key benchmark used by banks and financial institutions in Pakistan for pricing loans, trade finance facilities, and other floating-rate financial products. It reflects the average interest rates at which commercial banks are willing to lend unsecured funds to one another in the interbank market for different maturities.
KIBOR movements are closely linked to the State Bank of Pakistan’s monetary policy, inflation outlook, and liquidity conditions in the banking system. Businesses, investors, and financial institutions monitor changes in KIBOR because they directly influence borrowing costs, investment decisions, and financing expenses.
Higher KIBOR levels generally translate into increased financing costs for businesses and consumers, while lower rates can encourage borrowing and economic activity. The benchmark also serves as an important indicator of market expectations regarding future interest rate trends and overall financial conditions in Pakistan’s banking sector.
Analysts also use KIBOR trends to assess liquidity conditions, credit demand, inflation expectations, and the likely direction of future monetary policy decisions.