The State Bank of Pakistan (SBP) has decided to leave its key policy rate unchanged at 14 percent for the next two months, SBP Governor Shahid Kardar said on Saturday.

The previous three consecutive rate rises sought to discourage government borrowing, but they proved ineffective in weaning Islamabad off central bank funding.

The central bank last raised the rate by 50 basis points to 14 percent on Nov. 29.