Higher interest rate, tariff affects economic activities

[LahoreEstate]

ISLAMABAD: The business community claimed the higher power tariff coupled with high interest rates and frequent power breakdowns have badly affected economic activities. Acting president, Islamabad Chamber of Commerce and Industry (ICCI), Shaban Khalid regretted the government’s intension to go for further increasing power tariff to raise fund for settling the circular debt, which had gone up to Rs 150 billion. Power is the basic input for running the wheel of trade and industry and if its cost goes up, it will raise prices of all items produced by using electricity as raw material, he added. He said oil prices had declined more than 65 percent in international market and government should have decreased electricity rates proportionately to pass on the benefit to the general public. staff report

http://www.dailytimes.com.pk/default.asp...2009_pg5_9