KARACHI: On January 18, the business community expressed anguish at the letter of credit (LC) policy of the State Bank of Pakistan (SBP). They said the crisis of ‘greenback’ has ruined business for them.
Governor State Bank of Pakistan Jameel Ahmed visited the Karachi Chamber of Commerce Industries (KCCI). The traders and the business community presented their problems & asked him to ease import policies.
President Federation of Pakistan Chamber of Commerce Industries (FPCCI) Irfan Iqbal Sheikh said, “This time we are facing a big issue with SBP. This is due to the absence of continuity in the policies of SBP investors. We are facing hurdles in the opening of LCs, it is resisting us to importing raw material.”
He further emphasised on the surge in interest rate which is also pressurizing the industries. The move is causing high inflation rate. Sheikh says consultation with the business community should be necessary for policy making. He further demanded for political decisions to be separated from economic ones.
‘Surge in Outflow Increased CAD’
Meanwhile, Governor Ahmed said, “Issues didn’t emerge within the past few days. We should focus on the betterment of the economy.”
“The circulars of 2022 were aimed to control the Current Account Deficit (CAD), lack of inflows, and surge in outflow increased CAD.”
In addition, he said the quantity of dollars is insufficient to bear the pressure of import. SBP directed commercial banks to the consulate before opening LC. However, “SBP placed commodities, Medicine, oil, and gas on priority and solved cases of textile and other export sectors.
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