SBP chief briefs Standing Committee on Finance

• Baqir said that interest rates were reduced by 4.25 percent, which was the biggest reduction in the world.
• Under the Relief Scheme, Rs25bn has been earmarked for the National Disaster Management Authority (NDMA).

State Bank of Pakistan (SBP) has extended the duration period of Rs1 trillion worth of loans in the past two weeks, informed SBP Governor Reza Baqir on Tuesday.

Briefing the participants of the Standing Committee on Finance on loans, schemes, and reliefs via video link, Baqir said that interest payments have also been delayed.

The meeting of the finance committee of the National Assembly was chaired by Faiz Ullah Kamoka on Tuesday.

Baqir said that interest rates were reduced by 4.25 percent, which was the biggest reduction in the world. Pakistan's central bank on Thursday cut its key interest rate by two percent. The new rate has come down from 11 percent to 9 percent.

While giving a briefing on the Prime Minister's relief package, Secretary Finance said that an emergency fund of Rs100 billion has been set up. Under the Relief Scheme, Rs25bn has been earmarked for the National Disaster Management Authority (NDMA).

The government is working with the provinces to tackle food shortages, the finance secretary informed. The IMF's $1.4 billion in funds will also be spent on relief, he informed.

Ayesha Ghaus Pasha raised the question of providing relief to the public amid the drop in prices of petroleum products in the global market.