SITE Association criticises SBP’s decision to hold policy rate at 11pc

KARACHI: The SITE Association of Industry has voiced strong disappointment over the State Bank of Pakistan’s (SBP) decision to maintain the policy rate at 11 per cent in its latest monetary policy announcement.

President of the SITE Association Ahmad Azeem Alvi said the central bank had missed a critical opportunity to reduce the rate to single digits. He noted that even a modest cut of 2.0 per cent would have sent a much-needed positive signal to the business community, particularly in the wake of the recently announced federal budget. He stressed the urgent need for the government to engage qualified economic advisers who understand both macroeconomic principles and ground realities. This, he said, is essential for achieving economic stability without harming trade and industry.

“If positive decisions are taken, they will yield positive results and generate goodwill,” he added.Alvi expressed hope that the SBP would consider bringing the policy rate down to single digits in its next monetary policy announcement.