Finance

Upcoming Monetary Policy will be announced soon

Karachi, November 19, 2019: In the last Monetary Policy announcement, they kept the interest rate unchanged at 13.25 percent, is little chance for downward change in the interest rate in the forthcoming Monetary Policy.

Ateeq Ur Rehman (Economic & Financial Analyst) requested for reduction in the interest rates. He said that the hike in interest rate  played wreak havoc to the access to finance for the Business Community as a whole and for SMEs and Startups in particular.

He added following the higher interest rate the non-performing loan escalated. Also, the rates and payment of car/house financing (consumer financing) became unbearable.  

The cost of doing business and the cost of production shoot up to the level of un competitiveness.  

Under this, the cost of borrowing is huge and capital financing becomes more expensive.

 Ateeq said that how long this IMF chronic dependence will continue as practically speaking the fiscal deficit of every organization is widening with current expenditure soaring to its heights. For example logistics and supply chain mechanism is running out of entrepreneurs hand.  

As and if the Govt is serious in pulling out the country out of current malice to radical decisions have to be taken urgently  — reduction in interest rate and cut in Utility charges.

He wishes, lets conceive the idea of prosperity from brotherly Countries like China, Indonesia and Thailand and avoid the further liquidity crunch of Business , Trade and Industry.   

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