‘Benefits of economic reforms need to be translated’

KARACHI: The central bank governor said middle and lower income group bore much of the burden of economic reforms taken to bring the economy back on stability track.

“These sections of the society have borne the bulk of the burden of adjustments from higher income taxes deducted at source for salaried workers, higher indirect taxes, and higher inflation,” a statement from the State Bank of Pakistan (SBP) quoted SBP Governor Reza Baqir as saying, while referring to the middle and lower income classes.

The statement rejected a previous statement associated with the central bank’s governor in which he was reported to have admitted “higher inflation and taxes had crippled the masses and emphasised that steps should be taken to ensure that positive fallout of economic stability reached them”. “In the entire press release, State Bank Governor has not made such statement,” the SBP’s statement said.