Business Groups Oppose 50bps Rate Hike

Business organizations have expressed opposition to the proposed 50bps increase in the policy rate, citing concerns over its impact on economic growth.

FPCCI President Atif Ikram Sheikh described the rate hike as counterproductive, warning that it could hinder efforts to stabilize the economy and reduce the competitiveness of Pakistani exports.

Sheikh emphasized that high interest rates have transformed borrowing into a financial burden for businesses, making it difficult to invest in technology and enhance productivity.

He advocated for the policy rate to be reduced to single digits, stressing the importance of affordable financing for business development and regional competitiveness.

Sheikh also called for greater consultation with the business community when implementing policies that affect economic activity.