Karachi: In a robust day of trading, the KSE-100 Index soared by 810 points to close at 83,532, with a significant volume of 380 million shares exchanged. The day’s trading saw AIRLINK, PPL, and PSO leading the gains, while FFC, INIL, and FFBL were among the top decliners. Sectoral activity was predominantly observed in property, technology, and cements.
According to Taurus Securities Limited, the market dynamics were influenced by various significant developments across the financial and economic sectors. Notably, the center and the provinces have inked a comprehensive fiscal pact to meet the International Monetary Fund’s requirements. This agreement is part of a broader strategy to stabilize Pakistan’s economic framework and enhance its business environment, although the World Bank has placed Pakistan in a lower tier in its latest assessment of the country’s business climate.
The report also highlighted substantial foreign investments with an inflow of $69.2 million into the government’s securities. Additionally, the Cabinet has proposed a relaxation in the export policy to foster economic growth. Prime Minister has directed the inclusion of the Diamer-Bhasha Hydropower Project in the China-Pakistan Economic Corridor (CPEC) initiatives, aiming to boost infrastructure and energy development.
Further economic indicators included a 13.2% rise in weekly inflation and the government’s strategic moves in the power sector, including the imminent rebasing of electricity tariffs and nearing final agreements with independent power producers to stabilize the energy supply.
In transportation developments, Pakistan Railways is set to construct a 105-kilometer rail line to connect Thar Coal mines with Port Qasim, enhancing the logistics and transportation of coal for energy purposes. On a legislative note, the delay by the Federal Board of Revenue in enforcing sales tax measures in the steel industry is reportedly costing the government approximately Rs 8 billion monthly.
In the energy sector, five Independent Power Producers have agreed to terminate their contracts, and discussions are ongoing to mitigate any potential disruptions. Meanwhile, Pakistan continues to seek foreign investment in its maritime sectors and has successfully negotiated the export of 100,000 tons of rice to Malaysia, signaling a positive outlook in its international trade relations.
Additionally, Crescent Steel has approved the sale of assets from its idle Hadeed Division, indicating strategic business realignments within the industry.