EPBD recommends cut in interest rate

The Economic Policy and Business Development (EPBD) think tank strongly recommended a cut in interest rate from 11 percent to 9 percent, 24NewsHD TV reported on Sunday.

EPBD said that the current floods completely destroyed the agriculture sector, which is vital for industrial development.

The EPBD further said that during the second phase, the interest must be dropped from 9 percent to 6 percent.

EPBD said that industrial development is vital after the agriculture reforms. EPBD said that the government should explain whether it wanted to run the industry or not. This government can easily spend an amount of Rs3,000 billion on the rehabilitation of flood-affected areas.

EPBD said that after a decrease in interest rate, employment opportunities will also be enhanced and this move will decrease the impact of floods on agricultural land.

EPBD said that a higher interest rate intercepts inflation. The EPBD think tank said that after devastating floods, Pakistan stands at a turning point.

The EPBD think tank said that sixty percent of rice crops, 35 percent of cotton and 30 percent of sugarcane crops are already destroyed.

Our Gross Domestic Product (GDP) also decreased from 3.4 percent to 3.2 percent due to heavy floods.

After floods, 11 percent interest rate is unbearable. Maintaining the interest rate will increase industrial progress.

Reporter: Waqas Azeem