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SBP governor says inflation expected to decrease in coming days
Statesman Report
ISLAMABAD: Governor State Bank of Pakistan, Reza Baqir, said that inflation was expected to decrease further in the coming days and that the central bank was ready to “take action” in the coming days regarding the interest rate if the situation required so.
Baqir was speaking to anchor Shahzeb Khanzada on Geo News’ programme ‘Aj Shahzeb Khanzada Ke Sath’ when he said that the central bank takes decisions about the interest rate by taking into account the inflationary situation in the days to come.
“The statistics that we have with us clearly show that inflation is expected to decrease further in the coming days,” he said. “As we keep receiving information about the country’s economy, the State Bank will be ready to take action in future about the interest rate,” he added.
He said that it was extremely important for the government to focus its energies on employment and economic growth. The SBP governor said that Pakistan had cut its basis points by 255 which was the second-highest decline in the world.
Speaking further about the SBP’s new scheme, Baqir said that businesses who do not lay off employees will be able to avail loans on a 5% rate. “Businessmen who are on the active tax list will be able to avail loans on 1% interest rate as well,” he said.
Baqir said that the scheme’s policies favoured small businesses more than the larger ones. He said that businesses whose salaries expenses amounted to less than Rs20 crores could secure the entire amount as a loan.