The SBP, according to a statement issued here, released the MPR in line with its commitment to bring more transparency to monetary policy decision-making and the Monetary Policy Committee’s (MPC) reaction function. The report acknowledged measures taken by the government to ensure fiscal discipline including timely passing of global price hike to domestic prices and introducing targeted subsidies and austerity measures to conserve energy. These measures helped moderate aggregate demand and ensured that demand-side pressures stayed muted, MPR assessed. The MPR also discusses multiple risks to the macroeconomic outlook which include the evolving geopolitical developments in the Middle East, which could push up global energy and other commodity prices beyond the assumed levels and therefore impact the macroeconomic outlook. The Report also highlighted climate-related risks, specifically the evolving El Niño conditions and floods, which could adversely affect the economy.