Business community terms hike in interest rate as anti-investment

[rasalkhan]

KARACHI: The business community, already perturbed with unavailability of utilities and over-regulations, sharply criticized the 25 basis points increase in central bank’s interest rates to 10.25 percent and termed it anti-investment.

A lethargic fiscal policy and heightened borrowings by the government from the central bank are the reasons that have compelled the State Bank of Pakistan (SBP) to continue a hawkish stance.
President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) Daru Khan Achakzai said the expansion in private sector credit during the first half of the fiscal year was largely attributable to high cost of raw materials and continuation of capacity expansion in power and construction. “There has been no mentionable expansion in the industrial activities, which is evident from declining large scale manufacturing (LSM) numbers”.

“SBP continues...
https://customnews.pk/2019/02/02/bus...ti-investment/