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Wednesday, 18 March, 2020 I 23 Rajab, 1441 I Rs 20.00 I Vol X No 259 I 16 Pages I Karachi Edition
Corona will spread but '’aap ne ghabrana nahi hai’ g
PM IMran rULES OUT COUnTrYWIdE LOCKdOWn aS OffICIaL nUMbEr Of PaTIEnTS TOUCHES 237
g
SIndH GOvT IMPOSES ParTIaL LOCKdOWn frOM TOdaY fOr 15 daYS In a bId TO COnTaIn dEadLY vIrUS
LAHORE ASHER JOHN
“a
aP ne ghabrana nahi hai [You don’t need to panic]," Prime Minister Imran Khan said on Tuesday, as he sought to calm the panicked Pakistani populace amid a rapid surge in the positive cases of the deadly coronavirus, that touched 237 by Wednesday midnight, across the country. The PM's address came a few hours after the Sindh government announced a partial lockdown in the province for 15 days starting Wednesday. "It is our belief that life and death are in the hands of allah," Imran said in a prerecorded address to the nation. He added that the federal government had decided not to impose a lockdown in the country even though the virus outbreak was expected to
SBP cuts key interest rate by 75bps to 12.50pc g
banK annOUnCES $5bn SCHEME TO COMbaT COrOnavIrUS KARACHI MEIRYUM ALI
The State bank of Pakistan (SbP) on Tuesday announced it would cut the policy rate by 75 basis points, from 13.25 per cent to 12.50 pc. The decision was taken based on a lower predicted inflation forecast, but also a concern about the coronavirus pandemic and its potential impact on the external and domestic demand. according to the State bank, the average headline inflation is expected to remain within the 1112 per cent forecast in fY20, before falling to the mediumterm target range of 5-7 per cent. This is earlier than previous State bank expectations. national CPI inflation surged to 14.6 per cent in January 2020, before a deceleration in february 2020 to 12.4 per cent. Currently, average national CPI stands at 11.7 per cent during the first eight months of fY20. This was in line with the last monetary policy review in January 2020, where SbP had again projected average inflation for fY20 to remain broadly unchanged at 11-12pc. The SbP believes that the 75 bps reduction in policy rate is “appropriate on a forward-looking basis to achieve the 5-7 per cent medium-term inflation target.” This was decided in order
to make the interest rate corridor symmetric around the policy rate, as per best practices around the world. HOSPITAL SCHEME: To that end, for the first time, the State bank has announced a refinance facility for combating COvId19, rfC which is a $5 billion scheme, provided to banks at zero per cent, who can then lend to hospitals at 3 per cent for five years for equipment. banks will provide — this facility, at zero per cent, which will then provide financing at maximum end-user of 3 per cent for 5 years. “This is not the first step. We are ready to take action if more things happen. This is not the final scheme,” said reza. Commenting on the scheme, the SbP governor said they were still waiting to see how the virus in fields, and that there is no limit to helping hospitals. The State bank also reached out to 29 hospitals, to get a price range for ventilators. ventilators cost between $1.5 million and $2.5 million, and that the
schemes $200 million with maximum financing limit does not cover it. TERF SCHEME: Simultaneously, the SbP announced a “Temporary Economic refinance facility (TErf)” and its shariah-compliant version to stimulate new investment in manufacturing. Under this scheme, the SbP will refinance banks to provide financing at a maximum end-user rate of 7 per cent for 10 years for setting up of new industrial units. The total size of the scheme is rs 100 billion, with a maximum loan size per project of rs 5 billion.
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spread. It may be noted here that the coronavirus pandemic has claimed over 7,000 lives in addition to affecting nearly 200,000 people in over 170 countries. "Get it through your heads, the virus will spread," the prime minister said, but hastened to add that there was no need to panic as "97 per cent of the affectees had recovered from the deadly virus". He said that the virus was dangerous for old people since it attacked their already-weakened immune system. NO LOCKDOWN: Imran spoke about the coronavirus situation around the world, saying that the US, Italy and England have reacted differently to the virus. However, he said that Pakistan cannot afford the same response as European countries. "Our economic situation is very fragile," he said. "If we close down the country, what will happen to the poor? People will die of hunger here," he added. PM Imran said that
his government took the difficult decision to prohibit public gatherings and ban events where the public showed up in huge numbers such as the Pakistan Super League (PSL) 2020. He said that an economic committee will determine how the government can cope with the coronavirus situation. The prime minister said that he feared food prices will once again rise as profiteers and hoarders will once again resume illicit activities.
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Coronavirus: Imran urges rich economies to write off debts STORY ON BACK PAGE