Rejecting the latest cut, the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) on Wednesday described the high interest as more dangerous than the coronavirus for trade and industries.
Commenting on the State Bank of Pakistan’s decision to slash the interest rate by 1.5 basis points after which it stands at 11 percent, former senator Ghulam Ali said it was impossible for trade and industries to grow amid the current interest rate.
24NewsHD quoted FPCCI president Mian Anjum Nisar as demanding that the petrol and diesel prices should be reduced to provide relief to the masses.
The oil price in international markets had shrunk to $22 per barrel and the Rs15 cut by the government wasn’t something of a favour, he remarked, while asking the government to ensure the supply of POL products at the level of 1990s.
The FPCCI’s remarks came as the interest rate in Pakistan is much higher than the other countries. After the cut in the recent weeks amid the economic slowdown, the interest rate in some countries given in the following:
Switzerland -75 percent, Japan -0.1 percent, EU 0 percent, the United State, New Zealand and Australia 0.25, South Korea and Canada 0.75, Norway 1 percent.
However, there are some examples where the interest rate in higher but still much lower than Pakistan.
Turkey 10.75 percent, Mexico 7 percent, Indonesia 6.5 percent, Russia 6 percent, South Africa 5.25 percent