Salim Valimuhammad, Chairman of the Pakistan Chemicals & Dyes Merchants Association (PCDMA), has rejected the State Bank’s decision to keep the interest rate at 12% and demanded a significant reduction. He expressed concern over the State Bank’s actions, which he believes are contrary to the ground realities. He emphasized that economic conditions in the country are improving, and inflation is decreasing, yet no significant reduction in the interest rate has been made.

Salim Valimuhammad, in a statement, said, “We had hoped that this time the central bank would make a substantial reduction in the interest rate. However, by keeping the interest rate at 12%, the State Bank has dashed the hopes of the business community.”

He added that such measures would neither accelerate economic activities nor attract new investment. The government should ensure loans at lower interest rates to promote business and formulate policies to expedite commercial activities.

PCDMA chairman requested the Governor of the State Bank to bring the interest rate to a single digit in the economy’s best interest, to ease access to loans and allow traders to expand their businesses.