The Pakistan Stock Exchange (PSX) witnessed a positive trajectory on Monday, crossing the 136,000 barrier due to increased investor sentiment and improved economic outlook.
The benchmark KSE 100 index surged by 2202.77 points, or up by 1.64 per cent, to close at 136,502.53 points. The stock market reached its highest intraday level of 136,841.49 points around 3:28pm.
Prime Minister Shehbaz Sharif expressed satisfaction as the stock market surged to cross the all-time high level.
According to a statement from the Prime Minister’s Office, he said the “significant achievement by the PSX is a clear reflection of the business community’s growing confidence in Pakistan’s economy”.
“The recent positive economic indicators are a testament to his government’s policies moving in the right direction,” he emphasised, reiterating that providing a business-friendly environment remains the government’s top priority.“
He said the country had moved from economic stability towards the path of economic growth, adding that the government of Pakistan was working tirelessly for national development and public welfare.
“This positive outlook follows a period of concerted efforts to stabilise the economy and implement structural reforms, which appear to be gaining traction and restoring investor trust,” he said, per the statement.
The previous week saw the stock market continue its record-breaking bullish run, crossing the 134,000-point threshold amid strong macroeconomic fundamentals and persistent buying by local mutual funds.
A surge in workers’ remittances, robust auto sales, and improved foreign exchange reserves provided a solid backdrop for investor optimism, helping offset subdued participation and minor currency depreciation.
Workers’ remittances rose to a historic $3.4bn in June, up 8pc year-on-year, taking full-year FY25 inflows to a record $38.3bn — a 27pc increase over the previous year. The State Bank of Pakistan’s foreign exchange reserves surged by $1.8bn to $14.5bn for the week ending July 4, marking a 39-month high.
The auto sector further supported market gains. As per the Pakistan Automotive Manufacturers Association (PAMA), car sales in June rose 64pc year-on-year and 47pc month-on-month to 21,773 units. Full-year FY25 sales grew 43pc to 148,000 units, buoyed by pre-buying ahead of a proposed GST increase on smaller vehicles.