The Pakistan Stock Exchange (PSX) reached unprecedented heights, with the KSE-100 index surging by 1,505.56 points to a record-breaking 66,223.63 points, marking a 2.33 percent increase from the previous day’s close.
Arif Habib Limited reported a remarkable week-on-week rise of 4,532 points or 7.35 percent, the highest-ever weekly increase in absolute terms, surpassing the previous record set over 3.5 years ago on April 3, 2020.
This surge is attributed to positive economic indicators following the recent staff-level agreement between Pakistan and the International Monetary Fund (IMF) under the Stand-By Arrangement (SBA). The agreement is poised to unlock a $700 million loan tranche, with the IMF’s Executive Board scheduled to meet on January 11 for final approval. Pakistan anticipates that this approval will pave the way for financing from other multilateral institutions.
Former Finance Minister Miftah Ismail highlighted the significance of the stock exchange index as a leading economic indicator, indicating an upturn in economic activity. Ismail expressed optimism, suggesting that the economic cycle has potentially reached its nadir, and with the stock exchange’s positive trajectory, the overall economic situation is expected to improve in the coming months.
