KARACHI:Pakistan Businesses Forum (PBF) President Mian Usman Zulfiqar said on Thursday that it had been proved that free float exchange rate idea was not working. The State Bank of Pakistan (SBP) should play its role and devise an effective strategy to stop further devaluation of rupee which is having a lethal impact on the economy and the inflation reading, he added.

Talking to a presser, PBF chief said value of dollar in interbank market had touched Rs188. He questioned: “Is SBP a partner in crime and deliberately closing its eyes to massive manipulation going on right now? Does SBP want rupee to touch Rs190 to a dollar before weekend? SBP must clarify it’s position.”

“Now importers are buying dollars and exporters are holding. Everyone is trying to buy. “There is no government, there is no confidence. The country is felt like being orphan.” It has to be understood that the share of exports in GDP stands at around 10% while the rest 90% is local trade and imports, says Zulfiqar, adding the devaluation was hurting and it had reached an unbearable level now.

He attributed it to current political instability, pressure of balance of payments and depleting foreign reserves and said the massive depreciation of the rupee would further increase the inflation and affect the common man. PBF chief suggested urgent resolution of the present turmoil to lead to political stability to offset any further setback to the feeble economy. He also urged the Chinese government to bail out Pakistan and provide soft loans so that we may get out of it from the rupee pressure.