Islamabad : Oct 29 : Can someone stop the State Bank of Pakistan (SBP) from keeping the interest rate on current killing level of 22 %. SBP ‘s committee is meeting today (Monday) to review its policy.tate .
Currently, SBP is having 22 % policy rate which is only aimed at benefitting the banking mafia of Pakistan. Pakistan ‘s banks are getting unprecedented rather illogical profit on lending from the government for the last at least four years. This dirty game against Pakistan started in Imran Khan’s tenure . The banking mafia managed to secure two major policy shift in Imran Khan ‘s rule . One- it managed to get SBP autonomous
After becoming autonomous SBP is not answerable to the federal government and hence it remains loyal to the banking mafia rather looking after the state interest . Second , the banking mafia has managed to keep interest rate at such a higher level where they make huge profit on lending . These two goals have literally turned the banking sector like a minster for Pakistan. Its profit up to 800 % in the last four years is enough to expose SBP and banking mafia’s nexus . Exactly, at a time when Pakistan ‘s economy has been ruined by unbearable debt servicing level ,
Pakistan ‘s banks which should be called as “New East India Company” are making profit of hundreds of billions of rupee on lending to the government. The banks are making rather plundering money through higher policy rate . They do not have any other window to make money except getting windfall profit on the loans they are giving to t he government as Pakistan’s economy is faced with unbearable debt burden. The killing interest rate of 22 % has played a key role in devastating Pakistan’s economy , but there is no one at any level in Pakistan which could ask SBP as to who was the real beneficiary of the killing policy rate of 22 %?. SBP must be asked as to what level its policy of controlling inflation through the higher policy rate has yielded results? Pakistanis are faced with unbearable price-hike ratio of 38 % plus and it suggests SBP ‘s strategy to control inflation through higher policy rate has failed absolutely .
The business community is also demanding reversal of jacked up policy rate so that the businesses and commercial activities restart in Pakistan. The business community is asking the SBP to either disclose the real beneficiary of killing interest rate or pull it down substantially to help the private sector take financing from the banks for their business and industrial activities.