President, Khyber Pakhtunkhwa Chamber of Commerce and Industry (KPCCI), Afan Aziz commented on recent report of State Bank of Pakistan, (SBP), indicating that Non-performing Loans (NPL) swelled by 24 per cent within a year, as hugely disappointing. He pointed out non availability of major utilities and a very high markup rate in the country, were the major reasons behind unprecedented spiral in NPL. He further added that province of Khyber Pakhtunkhwa has not only been bearing the brunt of Afghan war for the past three decades, but also has to endure impacts of non availability of utilities and high markup rate. Report portrayed a dismal picture of GDP growth and NPL size in the country, yet growth rate in Khyber Pakhtunkhwa has been negative for the past decade which is alarming to say the least. Mr Aziz observed that industrial growth in Khyber Pakhtunkhwa has sharply declined. While most units have closed down due to rampant militancy, terrorism and persistent energy crisis, he added. This detrimental environment forced investors to shift their businesses to other provinces not just in search of a better feasibility but a better life, he remarked. He lamented that banks are reluctant to lending, owing to prevailing situation in Khyber Pakhtunkhwa. Similarly, he went on to say, the high markups rate and cumbersome procedure of bank loans also multiplying the difficulties of the business community.
