Low discount rates to attract investment, says PBC
Pakistan Business Council's Board of Directors said the low interest rates in the country will stimulate investments and demand in the current state of the economy whereas the decision of the central bank to hold interest rates at their current levels is appropriate.
The meeting of the board member was held on discussion on major national issues regarding the economy and development of Pakistan, attended by Atif Aslam Bajwa, President & CEO Bank Alfalah, Abdul Razak Dawood Chairman Descon, Mr. Ehsan Malik, CEO Unilever Pakistan and Kamran Y Mirza, CEO, Pakistan Business Council. Though a stable exchange rate is an important indicator of economic stability, the Board was of the opinion that this should not be at the expense of competiveness of domestic manufacturing. The board also expressed its concerns vis-à-vis stagnating exports and the excessive dependence on a few markets / commodities. The Board hoped that the Ministry of Commerce will actively involve the PBC in drafting and implementing the next Strategic Trade Policy.
The PBC board called for a review of Pakistan's FTA policy. It observed that none of the FTA that Pakistan had signed had led to an increase in domestic manufacturing for exports to the FTA partner country.