KARACHI – The Karachi stock market closed lower on Monday, led by the banking sector after the State Bank of Pakistan raised the minimum deposit rate on savings accounts to 6 per cent from 5 per cent.The decision by the central bank on Friday came at the same time it announced its monetary policy for the next two months, keeping the key policy rate flat at 12 percent.“This move will have a significant impact on banks’ profitability, as savings deposits account for nearly 38 percent of all bank deposits, and 52 percent of the total number of deposit accounts,” said Sayem Ali, economist at Standard Chartered Bank. The Karachi Stock Exchange (KSE) benchmark 100-share index fell 0.2 percent, or 28.72 points, to end at 13,770.70. Volume was 261 million shares, compared with 380 million shares traded on Friday.Among banking stocks, NIB Bank ended 4.5 percent lower at 2.55 rupees, the National Bank of Pakistan fell 3.5 percent to close at 46.30 rupees and Bank Al Falah closed 2.1 percent lower at 15.75 rupees.APP adds from Islamabad: Islamabad Stock Exchange closed modestly higher on Monday as the ISE 10-index gained 4.39 points to close at 2833.27 points. Stock Analyst, Ismail Iqbal Pvt Ltd, Jeewan told APP that the cement sector was top traded in the markets due to the increasing export demand of cement in India, adding that even the DG Khan Cement closed at upper circuit breaker. Besides, he said, the increase in the price of fertilizer in the international markets also helped the local fertilizer sector to perform better. Banking sector did not perform better because the SBP has increased interest rate from 5 per cent to 6 per cent on Profit and Loss Sharing (PLS) account of banks. Due to this, scrips of majority of banks closed in the red.Total volume of shares traded was 243,577 which was up by 48,629 as compared to a day earlier’s closing. Out of 137 companies shares traded, the prices of 67 increased while the prices of 70 decreased. The price of top gainer Unilever Pakistan increased by Rs.48.76 while the price of top loser MCB Bank decreased by Rs.6.17. NBP, NIB Bank and Askari Bank Ltd remained volume leaders with volumes of 70,500, 50,000 and 28,538 shares respectively.