AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Islamabad: Mian Zahid Hussain, a prominent business leader and former government official, voiced his frustration over the State Bank of Pakistan’s (SBP) decision to maintain its policy interest rate at 11%. He argues that the current rate hinders economic expansion and investment, leading to an “investment famine” in the country.
Hussain acknowledges the SBP’s focus on price stability but contends that the present rate is excessive given the single-digit inflation. He suggests a rate closer to 6% would be more appropriate, enabling Pakistani businesses to compete effectively with regional rivals.
He points out that elevated borrowing expenses disproportionately burden small and medium-sized enterprises (SMEs), hindering their capacity to grow, innovate, and generate employment. Hussain reiterated his organization’s call for a substantial, immediate reduction of up to 500 basis points in the policy rate. He believes such a move is crucial for aligning monetary policy with national economic and export growth objectives.
Hussain appealed to the central bank to prioritize the private sector’s needs and shift from solely focusing on price stability to also supporting economic dynamism, competitiveness, and reducing production expenses. He emphasizes that boosting exports is crucial for addressing trade deficits and managing dollar scarcity. He concludes that a significant rate cut is not a gamble but a vital measure to unlock Pakistan’s economic potential.
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Smeda Seeks To Boost Hunting Knife Exports To $100 Million**
Islamabad: The Small and Medium Enterprises Development Authority (SMEDA) aims to substantially increase the export of hunting knives and swords from Pakistan, targeting a jump from $13.5 million to $100 million. This commitment was made by SMEDA Chief Executive Officer, Mr. Socrat Aman Rana, during a meeting with a delegation from the Hunting and Sporting Knives, Swords and Accessories Association of Pakistan at the SMEDA headquarters.
The delegation, led by Association Chairman Mr. Nadeem Ahmed Warraich, discussed strategies to enhance the sector’s export performance. Mr. Rana emphasized the government’s focus on promoting exports and employment through small and medium enterprise development. He pledged to address obstacles impeding the growth of hunting knife and sword exports. Collaborative efforts will include developing sector profiles, cluster documentaries, e-commerce training programs, and enhancing production processes.
SMEDA has introduced initiatives such as the E-Support Program and Export Readiness Program to empower SMEs to contribute more significantly to national exports. These programs will also benefit the hunting and sporting sword manufacturing sector.
Mr. Warraich highlighted Pakistan’s declining share in the global trade of hunting and sporting knives, falling from 0.53% in 2022 to 0.41% in 2024. He expressed confidence that with government backing, this share could be significantly expanded, potentially reaching the $100 million export target.