PESHAWAR: Vice President of the Federation of Pakistan Chambers of Commerce and Industries (FPCCI), Aun Ali Syed, has called for drastic cut in the discount rate, urging the State Bank of Pakistan to bring the policy rate down to single digits to boost industrial growth and reduce unemployment.
In a statement issued here on Saturday he emphasized that the prevailing economic conditions are fully conducive reduce the markup rate to a single-digit figure. He stated that lowering the interest rate is the need of the hour, as it would increase money circulation in the economy.
Syed noted that economic indicators are moving in a positive direction, with a noticeable decline in inflation, creating a favourable environment to reduce the policy rate. “This is the high time to bring the interest rate down to single digits,” he said, adding that doing so would enhance industrial production and generate employment opportunities through increased monetary flow from the banks.
He further asserted that the State Bank has sufficient room to lower the policy rate to 7 percent and urged the central bank to announce a major cut in the interest rate during its upcoming meeting on May 5. “The benefits of reduced inflation must be passed on to the common man,” he concluded.
Copyright Business Recorder, 2025
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