KARACHI: State Bank of Pakistan (SBP) rebutted claims that capping price of dollar caused loss of $ 3 billion in remittances and exports. “Export of goods have been facing headwinds due to moderating demand in international markets as most of our major trading partners are going through period of monetary tightening,” central bank said in statement.

It stated that US Federal Funds rate has surged from 0.25 percent in March 2022 to 4.5 percent to date, suggesting noticeable global monetary tightening. SBP said inflation was significantly higher in developed world, eating into purchasing power of consumers. “These, together with domestic factors like devastating floods and ensuing supply disruptions have negatively impacted exports,” it added.

Published in The Daily National Courier, January, 30 2023

Like Business on Facebook, follow @DailyNCourier on Twitter to stay informed and join in the conversation.