Blog | One Homes

Pakistan’s Rate Cut Boost Economic Activity

Written by Saliha Aziz | Feb 13, 2025 6:31:38 PM

Pakistan is going through an economic surge. In recent news, the central bank has reduced the interest rate to 12%. This is to keep the growth further on track and ensure high market confidence. 

At One Homes, we recognise how these positive economic shifts are unlocking new Pakistan investment opportunities, especially in the real estate sector. Borrowing has become a lot more affordable and the cost of investment is much lower now. Hence, you can invest in this rapidly expanding market and our developments are enabling you to do so. 

 

Why the Rate Cut Matters for Investors

The interest rate has been reduced by the State Bank of Pakistan (SBP) to 12%. This marks a major step toward boosting economic activity. This move follows an impressive series of rate cuts from a record-high 22%, one of the most aggressive policies among emerging markets.

The central bank has shared a positive outlook for the year, forecasting full-year inflation to average between 5.5% and 7.5%, a level that promotes stable growth while maintaining purchasing power.

 

A Strong Economic Outlook for 2025

The interest rate cut reflects growing confidence in Pakistan’s economy. This is supported by positive indicators:

  • Inflation dropped to 2.4% in January. It is the lowest it has been in over six years.
  • GDP growth is predicted to be between 2.5% and 3.5% by the central bank.
  • By June 2025, foreign exchange reserves are set to grow past $13 billion.

 

Foreign Investment in Pakistan is Rising

The favourable economic conditions are setting the stage for increased foreign investment Pakistan is attracting. Lower interest rates are reducing the borrowing cost. This makes securing high-value assets easier for international investors.

The main factors driving confidence among global investors are the stable economy and the positive outlook from the central bank. The growing foreign capital is resulting in high-growth opportunities in real estate, finance, technology, and more.

 

Opportunities for Overseas Pakistani Investors

There are a lot of opportunities for overseas Pakistanis to capitalise on. This is a direct result of the economic recovery and low borrowing costs. Here are some reasons why this is the perfect time to invest:

  • Affordable Financing: Lower interest rates make property loans more accessible, as the cost of investment is lower.
  • Rising Property Values: Demand for real estate will drive up property prices as the economy grows.
  • High Rental Demand: The demand for rentals is growing as people are moving to cities for business and employment. 

 

Overseas Pakistanis are set to profit greatly from their real estate investment. This long-term asset ensures your investment grows along with the country’s economy.

 

One Homes is Offering Contemporary Luxury With Long-Term Value

At One Homes, we are bringing global investment standards to Pakistan's investment opportunities. Our world-class developments are located in some of the fastest-growing areas in Pakistan. This allows you to benefit from strong returns and long-term value in the country’s growing real estate sector. 

Get in touch with us now and discover first-of-its-kind, luxury developments in Pakistan.