Dr Baig welcomes cut in discount rate

RECORDER REPORT

LAHORE: Dr Mirza Ikhtiar Baig, Chairman, FPCCI Standing Committee on Exports, has welcomed cut in discount rate by 1.5 percent to 10.5 percent and said that it would revive industrial activities in Pakistan.

Reacting to the SBP’s latest monetary policy, Dr Baig said the private sector credit uplifting would pickup pace with this single move of the SBP

Also, he said, it would increase the investment to the GDP ratio in the country.

According to him, present reduction in discount rate is a signal to the banking sector to lend more to the private sector than investing in the Treasury Bills of the government.

He said the FPCCI has been advocating industry case in the government quarters over the last four years and present cut in discount rate is a step in the right direction to pay back the economy in larger perspective.