Stabilisation efforts bearing fruit: SBP
KARACHI: The State Bank of Pakistan (SBP) Governor Dr Reza Baqir on Wednesday said that reforms introduced to address macro-economic challenges have started to bear fruit and an improvement in external sector has become visible.
He made these remarks during an interactive session with the members of Overseas Investors Chamber of Commerce and Industry (OICCI).
Baqir added that macroeconomic stability would promote investment in the country and trigger growth while admitting that bold measures taken in the recent past were painful.
He elaborated that average monthly current account deficit, a prime concern for the economy, has halved, exports have increased, non-borrowed foreign exchange reserves have stopped falling and in fact began to grow.
Baqir hoped that inflationary pressures would ease from second half of the current fiscal year.
OICCI President Shazia Syed informed the governor that economic contribution of OICCI members, who are among the largest economic stakeholders, has reached over $13 billion in the past seven years.
She said that OICCI members are positive on investment opportunities in the country despite challenges faced by the economy.
Syed also complimented the governor over prompt remittance of profits to OICCI members despite pressures on the country’s foreign exchange reserves.
However, the OICCI presented a comprehensive list of recommendations to the SBP governor, which included proposals for doing away with additional approvals for remittances.
The chamber also suggested the governor to set up an online portal allowing banks to upload the request and supporting documents.
The governor also said the central bank is moving towards digitisation and proactive engagement that will address the major issues systematically.
The governor promised to consider various OICCI recommendations while emphasising the need for continuous dialogue.
Published in Dawn, October 10th, 2019