Pakistan, Dec. 16 -- The State Bank of Pakistan's (SBP) decision to reduce the policy rate by 50 basis points to 10.50 per cent received mixed reactions on Monday. Foreign investors and business groups welcomed the move as cautious, while local business groups criticised it as insufficient to revive economic activity.

The Overseas Investors Chamber of Commerce and Industry (OICCI) termed the cut a prudent and measured step. OICCI Secretary General and Chief Executive Abdul Aleem said the reduction would help ease financing conditions while maintaining overall economic stability.

He added that a gradual approach allows businesses to plan investments with greater confidence. According to OICCI, such easing can support sustainable growth w...