KCCI demands up to 500 basis points cut in policy rate

KARACHI: Karachi Chamber of Commerce on Wednesday demanded upto 500 basis points cut in the policy rate, ARY News reported.

Zubair Motiwala, Businessmen Group (BMG) leader has urged the authorities to cut the markup rate down to 14.5 percent from current 19.5 percent interest rate in the coming monetary policy.

“Moody’s has also categorized the insecure loans to CAA2”.

KCCI has said that the inflation has dropped to the lowest level of 9.6 percent in last three years. “The inflation was 9.2 percent in October 2021, while the policy rate was 7.25”, KCCI stated.

The chamber of commerce stressed over the need of tangible reduction in the policy rate to boost commercial and industrial activities in country. “Reduction in the policy rate will help Pakistan to improve its competitive position in the region,” KCCI said.

The State Bank of Pakistan (SBP) is scheduled to announce its next monetary policy on September 12.

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