Pakistan Stock Exchange historic high of 82,000 points, with index skyrocketing by 1,539 points
PSX breaks record with 82000 points as Pakistan economy moves forward with lowering inflation, expected IMF deal and a current account surplus. The record breaking of the PSX shows the overturning of Pakistan’s economy. Pakistan’s economy was tanking for the last few years. The agreements, disagreements, political uncertainty and rising instability was fueling unimaginable crisis in the country. The political turmoil was affecting the economic future of Pakistan. Moreover, Pakistan’s economy was tanking and it had the highest cost of living in Asia. Resultantly, the Pakistani Rupee was nosediving and the rupee dollar parity was increasing everyday amid the political crisis.
The prices of shares were losing and PSX lost its worth below 60,000 points by the end of December 2023. This was all happening while the political crisis was at peak. There was rising uncertainty on the occurrence of elections in 2024. The rising political uncertainty hit the Pakistani youth the most. There was an increasing trend of brain drain across the country. However, the Pakistan Elections in February 2024 were a partial sigh of relief. The new government has been, since then, trying to turn around the poor economic trend. Several challenges were on its way. However, the approval of IMF Programme was one big challenge.
After several high level efforts and engagement with friendly countries, international development agencies and the Standard Chartered Bank, Pakistan is finally able to get its IMF Programme. The IMF Board has fixed 25 September 2024 for the approval of Pakistan’s $7 Billion Loan. Resultantly, the market is showing a bullish trend. The market had shown similar bullish trend in July when the index touched 81,939 points. However, the delay in the approval of IMF Programme was bringing further uncertainty in the country’s economic environment.
At opening, PSX stood below 81000 points today. As the overall economic trend gets better. The index is also responding positively. Thus, PSX breaks record with 82000 points after an increase of 1539 points in a single trading day.
