Islamabad: The KSE-100 index experienced a significant upswing yesterday, gaining 1,776 points to close at 157,953. Trading volume reached 1,958 million shares. CNERGY, BOP, and KTML led the market's ascent, while MEHT, PKGP, and MUGHAL experienced the largest declines. The technology, refinery, and food sectors saw the most substantial trading activity.
Pakistan's current account deficit expanded by 45% to $624 million during July and August of FY26. Foreign direct investment (FDI) decreased by 22% to $364.3 million during the same period. However, the State Bank of Pakistan's foreign exchange reserves saw a modest increase of $21 million, reaching $14.36 billion as of September 12.
Prime Minister Shehbaz Sharif announced Riyadh's intention to increase trade and investment with Pakistan. Furthermore, Pakistan has decided to participate in the Arab payments platform, a landmark decision for the nation's financial integration.
The Economic Coordination Committee (ECC) increased the Phase-1 project cost for the Reko Diq mine to $7.723 billion. Meanwhile, the Real Effective Exchange Rate (REER) index showed improvement in August. Pakistan also received Chinese approval for a $2 billion railway upgrade project.
In other financial developments, the government reduced National Savings rates on key schemes. Information technology exports reached $337 million in August. The IT ministry informed the National Assembly panel that repairs to internet cables will require 4-5 weeks. Despite recent floods, cotton production witnessed a 40% increase. Overall power generation experienced an 8% rise in August. Khawaja Asif stated that discussions regarding inclusion of other Arab nations in the Pakistan-Saudi mutual defence agreement remain a possibility. All federal and provincial government payments are slated to transition to digital platforms by June 2026. Minister Aurangzeb and the EU envoy discussed economic cooperation. Jam Kamal met with Gholamreza Nouri Ghezeljeh. The FPCCI considers the Saudi pact a positive step for the business environment.