SBP should adopt effective strategies to stabilise rupee: Nkati

KARACHI: Faisal Moiz Khan, President North Karachi Association of Trade & Industry (NKATI), while expressing deep concern over high dollar rate which hit another all-time high by crossing Rs 226 in the inter-bank market urged the State Bank of Pakistan to adopt effective strategies to stabilise the rupee and curb the continued appreciation of the dollar, which has reached a new high of Rs 226.

He said that rising dollar will have very negative effects on the industrial production activities while the country’s economy will be badly affected and inflation will increase.

The State Bank should play its role as a regulator to prevent the rupee from falling.

Moiz said the continued high dollar rate against the rupee has led to an enormous increase in industrial costs, making Pakistani products less competitive in export markets and unsustainably increasing commodity prices in domestic markets.

NKATI president further said that the energy crisis, high rates of electricity, gas, taxes have already significantly increased the cost of production and now the continuous increase in the value of the dollar will sink the industries, which will lead to flood of unemployment and domestic exports will also be affected, so the central bank should adopt a strategy to curb the dollar price hike, otherwise it will become difficult to run the industries.

Copyright Business Recorder, 2022