State Bank of Pakistan cuts interest rates by 1% to 7%, Lahore Chamber of Commerce and Industry Vice President Mian Zahid Javed and industrialists termed 1% reduction in interest rates as insufficient.
The business community of the provincial capital was constantly demanding a reduction in interest rates. At the request of the business community, the State Bank of Pakistan reduced interest rates by one percentage point to seven percent, said Lahore Chamber Vice President Mian Zahid Javed.
One percent reduction in interest rates is not enough. Pakistan still has the highest interest rates compared to other countries in the region.
The industrialists said that the cost of production of the industry is higher as the interest rate in the country is still higher than other countries in the region. Due to high cost of production, the domestic industry is facing stiff competition in the international trade markets.
The government should raise the interest rate to 4%. The city’s business community said that if the government did not reduce interest rates further, the pace of industrial growth and exports would remain low due to high production costs in the country.
On the other hand, the storm of rising gold prices finally subsided for some time. On Thursday, gold became cheaper by Rs 1,400, after which pure 24 carat gold per tola became Rs 140,000 and the price of 22 carat gold per tola became 95 thousand.
At the level of Rs. 333, gold fell by dollar 15 to 1763 per ounce in the global market. Jewelers and female consumers of the city expressed satisfaction over the fall in gold prices.
The jewelers community said that they are happy with the reduction in gold prices. In the future, this will have a positive effect on the gold trade.
Extracted from City42 News