AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Karachi: Faisal Moiz Khan, President of the North Karachi Association of Trade and Industry (NKATI), has called upon the State Bank of Pakistan to reduce the policy interest rate by 2 to 3 percent. This appeal comes ahead of the bank’s Monetary Policy Committee meeting on Wednesday, July 30, where Khan hopes for a decision that would lower the rate to a single digit, aiming to stimulate industrial growth and aid economic recovery.
Khan highlighted that Pakistan’s current interest rate is considerably higher than those of its regional counterparts. This discrepancy, he argued, puts the nation at a competitive disadvantage and threatens the survival of domestic industries by complicating business operations.
The NKATI President stressed the necessity for tangible measures to lower interest rates, asserting that such a move would provide crucial relief to the business sector, particularly small and medium-sized enterprises (SMEs). These businesses are reportedly struggling under the weight of elevated borrowing costs.
Khan also reminded stakeholders of Prime Minister Mian Shehbaz Sharif’s pledge to bring interest rates down to single digits by the end of 2024. Yet, seven months into 2025, the rates remain high. Khan urged the State Bank’s Monetary Policy Committee to adopt a realistic and data-driven stance in its forthcoming meeting to address this issue.