Islamabad: Prominent business figure and former federal minister Zahid Hussain on Monday said the costly dollar has not slowed the pace of imports which are threatening the economy by expanding deficit.

Talking to the business community, Zahid said that controlling exports without compromising growth will be a challenge for the policymakers in which success is the only option.

Mian Zahid Hussain said that the government wants to boost the growth rate to 4.8 percent while ADB has projected the annual growth rate at 4 percent.

He said that the government inherited a trade deficit of 37.6 billion dollars which was controlled for some time but later policies were relaxed which resulted in threats for the economy and local currency.

The economic problems were increased due to food price hikes, hoarding and profiteering, he added.

The SBP increased interest rate to control increasing inflation which is hitting the economy but some elements in the business community were quick to get loans worth Ts172 billion before the policy rate hike which will also boost investment and employment.