The Pakistan Stock Exchange (PSX) achieved a historic milestone this week, surpassing the 170,000-point mark for the first time. Investor confidence soared due to key economic developments, including the completion of the IMF installment and major foreign investment.
Additionally, the commencement of circular debt repayments contributed to positive market sentiment.
The benchmark KSE-100 Index rose 1.7% over five trading sessions, adding 2,780 points to close at 169,864 points. During the week, the index reached a high of 170,697 points and a low of 167,386 points, reflecting market resilience.
Trading Activity Shows Robust Participation
Market activity remained strong, with a total of 5.27 billion shares traded this week. The total trading value reached Rs 248 billion, while market capitalization increased by Rs 282 billion.
Consequently, PSX achieved a new weekly high of Rs 19,321 billion, marking a significant milestone.
Key Drivers Behind the Market Surge
IMF Installment Completion: The release of funds from the International Monetary Fund boosted investor confidence.
This step improved market outlook and signaled stronger macroeconomic stability.
Circular Debt Repayments: Payments under the circular debt plan eased financial pressures on major energy and utility companies.
The move reassured investors about the government’s commitment to resolving long-standing financial challenges.
Reko Diq Investment: Approval of a $1.25 billion U.S. investment in the Reko Diq mining project attracted strong foreign investor interest.
This investment reinforced Pakistan’s position as a viable destination for large-scale foreign capital.
Analyst Outlook and Future Prospects
Market analysts indicate that continued macroeconomic stability and foreign investments could sustain the positive momentum at PSX.
Government-led financial reforms are also expected to strengthen investor confidence in the long term. The combination of domestic policy improvements and international investment inflows may drive further gains in the equity market.
The PSX’s record-breaking performance highlights growing optimism in Pakistan’s financial markets. Investors remain attentive to upcoming economic developments that could influence market trends.
