LAHORE: The Lahore Chamber of Commerce and Industry (LCCI) has urged the government to bring down the markup rate in the country as interest rates in Pakistan are the highest in the region and making Pakistani merchandise uncompetitive.

The LCCI President Irfan Qaiser Sheikh said that markup rate in Pakistan is 16 percent while in India it is 10.5 percent and in Bangladesh it is 11 percent and the government would have to bring it in line with the region for bringing down the cost of doing business here.

He, however, appreciated the government for accepting its demands regarding cut in Turnover Tax and bringing down the rate of Withholding Tax for commercial importers. The Lahore Chamber understands that these taxations measures were long overdue and would help revive trade and industry, he said. He said that cut in tax on exports, increase in cash withdrawal limit, decrease in tax slabs from existing 17 to 5 and application of same General Sales Tax rate are also good steps for the economy. He said allocation of Rs 10 billion for Export Development Fund (EDF) and raise in tax exemption ceiling would also strengthen the economy by giving boost to businesses.