Karachi: The traders and industrialists are showing their reservations over the currency devaluation and other related issues.
Currency devaluation is becoming a huge concern for the trade and industry. USD to PKR ratio and the high interest rate is making the environment unfavorable to doing business.
Yesterday, the US Dollar hit the all time high value of Rs 142 in the inter bank market. However, the debt has also increased by PKR 760 billion owing to the rise in the value of US dollar.
President Junaid Esmail Makda, Karachi Chamber of Commerce and Industry (KCCI) said that the currency devaluation will make severe impact on the economy of Pakistan.
Some exporters may become happy on the rising dollar value but the expert volume is still same. Exports of Pakistan have declined sharply to various destinations around the globe. However, it is due to the rising cost of doing business.
KCCI President said that the strict monetary policy is already damaging industrial production, hurting exports, and increasing unemployment.
Anis Majeed, Chairman Karachi Wholesalers Grocers Association (KWGA) anticipated another 5% raise in the rates of imported pulses due to the recent currency devaluation. In addition, Saleem Parekh, President Site Association of Industry (SAI) revealed they were expecting 1% increase in interest rates.