FWCCI urges govt to reduce policy rate by 500 basis points

FAISALABAD: Mrs Shahida Aftab, President Faisalabad Women Chamber of Commerce and Industry (FWCCI) has urged the Government to support economic growth by reducing the policy rate by 500 basis points in the forthcoming announcement of SBP Policy Rate.

She further said that a substantial reduction in the policy rate would not only stimulate economic activities but also be beneficial to the government. She said that a timely action would mark a notable improvement in our economic stability and demonstrates the effectiveness of our recent policy measures, she added.

She said that a considerable reduction has become need of the hour as it would help bring bank mark-up rates back to single digit, making credit more affordable for businesses and consumers alike. Lower interest rates will stimulate investment, boost economic activity, and contribute to the overall prosperity of our nation.

She said the Consumer Price Index (CPI) for November 2024 has already reduced to 4.9% Year-on-Year (YoY), compared to 7.2% in the previous month.

She said the actual inflation rate has outperformed all predictions and this positive development is a testament to the diligent efforts of our economic planners and the resilience of our business community.

Copyright Business Recorder, 2024