KARACHI: Leading economists and industry stakeholders are advocating for a significant reduction in Pakistan\u2019s interest rates to boost economic growth, stimulate investment, and relieve financial pressures on businesses and consumers. In a statement, Ismail Suttar, President of the Hub Chamber of Commerce & Industry (HCCI), observes that despite ongoing economic challenges and high inflation, there is widespread consensus among stakeholders that lowering interest rates could be a crucial step in facilitating the nation\u2019s economic recovery and achieving sustainable long-term prosperity. President HCCI said that Pakistan\u2019s current policy rate of 19.5% is significantly higher than its neighbours including China and India, giving these countries, as well as Bangladesh and Vietnam, a competitive edge in the export market \u2013 acquiring most of Pakistan\u2019s textile customers. \u201cOur manufacturers across all sectors are struggling to keep production costs under control amidst rising inflation and interest rates,\u201d said Suttar. \u201cIf the current policy rate is maintained, Pakistan risks further losing its export customers, potentially worsening the trade deficit.\u201d Ismail Suttar was of the view that lower interest rates can reduce borrowing costs for businesses, encouraging investments in expansion, technology adoption, and workforce development. This, in turn, can enhance productivity and competitiveness in both domestic and international markets. He added that decreased interest rates can provide crucial financial relief to Small & Medium Enterprises (SMEs), empowering them to expand operations, drive innovation, and create employment opportunities. \u201cPakistan stands at a critical juncture where proactive and bold economic policies are essential,\u201d Suttar added. \u201cBy lowering interest rates aggressively, the nation can foster a conducive environment for growth, innovation, and prosperity.\u201d Our Correspondent<\/p>\n","protected":false},"excerpt":{"rendered":"
KARACHI: Leading economists and industry stakeholders are advocating for a significant reduction in Pakistan\u2019s interest rates to boost economic growth, stimulate investment, and relieve financial pressures on businesses and consumers. In a statement, Ismail Suttar, President of the Hub Chamber of Commerce & Industry (HCCI), observes that despite ongoing economic challenges and high inflation, there […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":{"0":"post-423324","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-business"},"yoast_head":"\n