Businessmen slam SBP rate hike
The SBP kept the interest rate unchanged to support businesses during the Covid-19 pandemic. PHOTO: FILE
The Rawalpindi Chamber of Commerce and Industry (RCCI) on Thursday expressed strong reservations about the State Bank of Pakistan’s decision to increase the policy rate by 125 basis points, taking it from 13.75% to 15%.
RCCI President Nadeem Rauf, in a statement, urged the government to withdraw the hike as it would increase the credit cost of commercial banks, hinder industrial growth and development of small and medium enterprises (SMEs).
He said the central bank had raised the interest rate by a sharp 125 basis points in one go, which would discourage investors from considering Pakistan for investment and badly affect investment in different projects.
The RCCI president further said that Pakistan needed a quick revival of business and industrial activities to improve the ailing economy.
Published in The Express Tribune, July 8th, 2022.
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