Yassar Sakhi Butt, President ICCI said that this step was need of the hour and is an imperative move towards the revival of the economy and the industry, says a press release issued here.

President ICCI while commenting upon the declining of mark-up rate by 1.50 percent to 10.50 percent by State Bank of Pakistan lauded the Government's decision to balance inflation and growth considerations through the expansionary monetary policy because tight monetary policy was not appropriate solution to economic problems.

Yassar Sakhi Butt said that due to high discount rate in the region, Pakistani products had become uncompetitive but the current decision of cutting the policy rate would bring back life to the local economy by enhancing country's exports.

He said that the present decision would also reduce the non-performing loans as the business community would able to pay back their outstanding dues on time.

President ICCI said cut in markup rates would not only strengthen economic activities but would also go a long way in controlling stagflation that was giving birth to many economic problems besides jacking up the graph of unemployment.