Nov. 12 (Bloomberg) -- Pakistan’s car sales rose 2.1 percent in October after prices and borrowing costs declined.

Sales rose to 11,110 units last month, from 10,879 a year ago, the Karachi-based Pakistan Automotive Manufacturers Association said in an e-mailed statement.

State Bank of Pakistan, the central bank, lowered its benchmark lending rate to commercial banks by 100 basis points to 13 percent on Aug. 15, allowing banks to charge less for loans.

Car sales in first four months of the fiscal year that began July 1, rose 15.5 percent to 37,922 units from 32,833 units, according to the statement.

To contact the reporter on this story: Farhan Sharif in Karachi at fsharif2@bloomberg.net

Last Updated: November 11, 2009 22:19 EST