Latest news with #SMTanveer
Business Recorder
5 days ago
- Business
- Business Recorder
SBP should reduce interest rate to 6pc: S M Tanveer
LAHORE: S M Tanveer, Patron-in-Chief UBG, has stated that the State Bank of Pakistan (SBP) should reduce the interest rate to 6% given the fact that the country's CPI index is 0.3%, while the average inflation is 4% at present. He said the International Monetary Fund also recommends keeping interest rates positive relative to inflation. According to him, Pakistan's current interest rate of 11% is excessively high especially considering the inflation rate is around 4%. With the upcoming monetary policy announcement on July 30, he has urged the State Bank of Pakistan to reduce the interest rate in order to stimulate economic growth. Tanveer pointed out that the government has accounted for Rs8.5 trillion under the head of bank interest rate, and reducing the interest rate to 6% could save approximately Rs3.5 trillion. This reduction would have a positive impact on the economy, particularly for industries struggling with high interest rates and electricity costs. Pakistani exports could become more competitive globally, as interest rates in international markets range between 4-5%. However, he said, the recent budget measures, including sections 37A and 37B granting powers of arrest and detention will further stifle business growth. Tanveer emphasized the need for a business-friendly environment, urging the government to reconsider these measures and focus on creating conditions that foster growth, investment, and competitiveness. It may be noted that the State Bank of Pakistan has maintained a policy rate of 11% recently, citing inflation and external sector vulnerabilities. Copyright Business Recorder, 2025
Express Tribune
5 days ago
- Business
- Express Tribune
Tanveer urges SBP to cut rate to 6%
Listen to article SM Tanveer, Patron-in-Chief of the United Business Group (UBG), has called on the State Bank of Pakistan (SBP) to cut the policy rate to 6%, citing a sharp drop in inflation. He noted that the Consumer Price Index (CPI) stands at 0.3%, while average inflation is around 4%, making the current 11% interest rate excessively high. "The International Monetary Fund (IMF) also recommends keeping interest rates positive relative to inflation," said Tanveer. With the monetary policy announcement due on July 30, Tanveer argued that a rate cut would stimulate economic activity, reduce the government's Rs8.5 trillion interest burden, and potentially save Rs3.5 trillion. He added that lower rates would help industries struggling with borrowing costs and make Pakistani exports more competitive globally. Tanveer criticised recent budget measures, especially Sections 37A and 37B, for allowing arrests and detentions, saying such policies discourage investment and stifle growth. He urged the government to create a more business-friendly environment.
Express Tribune
5 days ago
- Business
- Express Tribune
UBG Chief urges SBP to cut interest rate to 6pc
Listen to article S M Tanveer, Patron-in-Chief of the United Business Group (UBG), has called on the State Bank of Pakistan (SBP) to reduce the policy interest rate to 6 per cent, citing low inflation and the need to spur economic growth. In a statement issued on Thursday, Tanveer said the prevailing interest rate of 11pc is disproportionately high, especially given that the Consumer Price Index (CPI) stands at 0.3pc while average inflation is currently hovering around 4pc. He noted that the International Monetary Fund (IMF) recommends maintaining interest rates slightly above the inflation rate to keep them positive in real terms. "At 11pc, Pakistan's interest rate is far above the inflation rate, stifling industrial growth and increasing the cost of doing business," he said. Read More: Profit-taking pulls PSX down after strong opening With the monetary policy announcement due on July 30, Tanveer urged the central bank to consider a significant rate cut. He argued that such a move would reduce the government's interest payments, stimulate investment, and make Pakistani exports more competitive. He pointed out that the government has allocated Rs8.5 trillion for interest payments in the current budget. A cut in the interest rate to 6pc, he claimed, could save nearly Rs3.5 trillion. Highlighting the challenges faced by the business community, Tanveer also criticised certain fiscal measures in the recent budget. In particular, he expressed concern over Sections 37A and 37B of the Income Tax Ordinance, which grant tax authorities the power to arrest and detain. He urged the government to focus on creating a business-friendly environment, noting that high borrowing costs, coupled with soaring energy prices, are already weighing heavily on industry. Also Read: PM Shehbaz hails World Bank position on IWT Meanwhile, the SBP has maintained its policy rate at 11pc in recent months, citing inflationary pressures and vulnerabilities in the external sector. However, with inflation expected to stabilise around the long-term average of 7pc in the coming quarters, analysts believe there may be room for a cautious easing of monetary policy. The external account outlook has improved, buoyed by strong inflows of workers' remittances, and foreign exchange reserves are projected to rise beyond $13 billion by June 2025 — developments that may provide the SBP with greater policy flexibility.
Business Recorder
21-05-2025
- Business
- Business Recorder
FPCCI UBG greets Gen Asim
LAHORE: S M Tanveer congratulated General Asim Munir on promotion to Field Marshal S M Tanveer, Patron-in-Chief, United Business Group (UBG), has congratulated General Asim Munir on his promotion to the exceptional rank of Field Marshal. 'On behalf of the United Business Group (UBG) and the business community, I extend my warmest congratulations to General Asim Munir on his promotion to the distinguished rank of Field Marshal,' he said, adding: 'This prestigious appointment is a testament to his exceptional leadership, unwavering dedication, and outstanding service to the nation.' He said the whole business community is confident that his continued guidance and vision will play a pivotal role in shaping the future of our great nation. As we celebrate this milestone, said Tanveer, we also reaffirm our commitment to contributing to Pakistan's economic growth and development. At UBG, we are driven by a shared vision to transform Pakistan into an economic powerhouse, akin to the Asian Tiger. We believe that with strategic planning, innovative policies, and collaborative efforts, we can achieve remarkable growth and prosperity for our nation, he stressed. Copyright Business Recorder, 2025
Business Recorder
18-05-2025
- Business
- Business Recorder
T O Act: Tanveer greets trade bodies for securing amendments
LAHORE: S M Tanveer, Patron-in-Chief, United Business Group (UBG), has extended his heartfelt congratulations to all Chambers and Trade Associations on their monumental achievement of securing amendments to the Trade Organisations Act, 2013. This milestone aligns perfectly with our collective aspirations and marks a significant step forward for our business community, he said. It may be noted that National Assembly of Pakistan has amended the Trade Organisations Act, 2013 as per the aspirations of the business community and removed the controversial provision. Thus, elections of all Chambers and Trade Associations will be held in September 2026, as per schedule, he said. Tanveer said he would like to extend special recognition to FPCCI President Atif Ikram Sheikh, Momin Malik, and Zaki Aijaz for their tireless efforts and unwavering dedication that made this achievement possible. Their exemplary leadership and perseverance have been instrumental in driving this initiative forward. He further said this accomplishment is a testament to the power of collaborative effort and strong leadership. I am confident that it will have a profoundly positive impact on our business community and contribute to the continued growth and development of our economy. Copyright Business Recorder, 2025
