Dossier
Gulf tensions
Coverage of Gulf tensions in the Nexus archive.
- Policy rate hike unlikely in final FY26 review
The State Bank of Pakistan's Monetary Policy Committee is unlikely to raise the policy rate in its June 15 meeting due to eased Gulf tensions and stable oil prices. The only rate hike in FY26 occurred on April 27, but analysts note improved supply chain conditions and prospects for a US-Iran deal have reduced inflationary pressures.
- Pakistani general says Iran diplomacy still 'alive, despite US blockade, failed talks
The U.S. imposed a naval blockade on Iran amid failed high-level talks in Pakistan, with tensions escalating in the Gulf. Pakistani General Mohammed Saeed suggested diplomacy remains possible despite the blockade and collapsed negotiations.