Governor SBP Highlights Economic Recovery at ICMA Pakistan Convocation

Governor State Bank of Pakistan (SBP), Mr. Jameel Ahmad, addressed the Members Convocation of ICMA Pakistan at a local hotel in Karachi, emphasizing the government’s and SBP’s firm commitment to tackling macroeconomic challenges, which has led to significant economic improvement.

During his keynote speech, Governor Ahmad congratulated the newly graduating accounting professionals, encouraging them to make notable contributions to their field. He highlighted the marked progress in Pakistan’s economy over the past year. 

“A year ago, Pakistan faced a very challenging macroeconomic environment. Inflation reached as high as 38 percent, FX reserves were depleting rapidly, the exchange rate was under significant pressure, and uncertainty was high,” he stated.

Governor Ahmad noted that today, inflation is sharply declining, foreign exchange reserves have risen to approximately $8 billion despite substantial debt repayments, and are expected to surpass the $9 billion mark. The current account deficit has significantly narrowed, leading to a stable Pakistani Rupee (PKR). He also mentioned reduced uncertainty, continued support from bilateral and multilateral partners, and the stock market reaching new highs as signs of economic improvement.

He attributed this progress to the firm commitment of both the government and SBP to address macroeconomic challenges through necessary, albeit unpopular, measures. These included raising the policy rate to 22 percent to reduce inflation and current account pressure, and the government’s fiscal consolidation by limiting non-essential current expenditures. This coordinated policy response is now yielding the desired results.

Governor Ahmad stressed the need for fresh perspectives and innovative solutions to address the longstanding issues facing Pakistan’s economy. He pointed out that global shocks, such as climate change, technological advancements, cybersecurity threats, and financial innovations, add new dimensions to economic and financial stability risks. He encouraged the graduates to proactively respond to these emerging challenges, emphasizing that Pakistan requires professionals with deep knowledge in economics, finance, and accounting to find workable solutions. Leadership skills are also crucial, he said, to design and implement courageous policy and regulatory decisions. He concluded by urging the graduates to work with dedication, hard work, and unwavering commitment to excellence to help shape Pakistan’s economic landscape.

Earlier, President ICMA Pakistan, Mr. Shehzad Ahmed Malik, warmly welcomed Governor Jameel Ahmad, Deputy Governor Dr. Inayat Hussain, and Deputy Governor Mr. Saleem Ullah. He praised the SBP team’s efforts in stabilizing the economy and congratulated the graduates. The event concluded with Governor SBP bestowing degrees upon the new CMAs.

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