PBF advises cut in interest, exchange rates

The Pakistan Business Forum (PBF) on Monday claimed that both interest and exchange rates were being kept artificially high without economic justification, and appealed to Prime Minister Shehbaz Sharif to ensure a correction to support growth and stability. In a statement, PBF Chief Organiser Ahmad Jawad asserted that the fair value of the US dollar was around Rs260, while prevailing inflation warranted an interest rate of no more than 9 per cent. He said the current exchange rate and borrowing costs were deterring economic activity and placing an unnecessary burden on the national economy. Mr Jawad urged the prime minister to immediately address what he termed as “artificial control” of the exchange rate.