KSE-100 has gained 66.70% over the past year and 51.85% year-to-date.
PSX nears 100,000 milestone as market soars to new heights. Pakistan Stock Exchange (PSX) continues to climb, and now benchmark KSE-100 Index hovered around 99,000 mark, up by 1,200 points during intra-day trading.
On first working day of the week, the index started in the red, reaching an intra-day low of 97,137.63. However, buying activity surged, pushing index above 99,000, with a high of 99,317.47 before retreating slightly.
Commercial banks led charge, with major gains while pharma giants and fertilizer contributed to the rally. KSE-100 Index moved up by 389.09 points to 98,187.32 as index fluctuated between high of 99,317.47 and a low of 97,137.63, with a trading volume of 144,322,912 shares.
KSE-100 has gained 66.70% over the past year and 51.85% year-to-date. Despite these gains, ongoing political tensions in the country, including the PTI long march, continue to influence market sentiment.
PTI protesters are heading toward Islamabad, Pakistan, demanding release of political prisoners, the repeal of the controversial 26th Constitutional Amendment, and the release of party founder Imran Khan.
Pakistan’s debt-to-GDP ratio expected to decline to 66.6 per cent by FY2027
Pakistan’s public and publicly guaranteed (PPG) debt-to-GDP ratio is forecasted to decrease to 66.6 per cent by FY2027, a drop from 68.6 per cent in FY2025, according to the latest Debt Sustainability Analysis report from the Finance Division. This declining debt trajectory signals an improvement in the country’s fiscal health.
In tandem with this, real GDP growth is projected to jump from 3.6 per cent in the ongoing financial year to 5.5 per cent by FY2027, according to Mettis Global. This rise is owing to improvements in external account balance and recovery in key sectors of the economy.
Fiscal reforms and a favourable growth-interest rate differential are highlighted as key contributors to the anticipated reduction in the debt-to-GDP ratio. Under the baseline scenario of the report, public debt remains well below the prudent benchmark, reflecting enhanced fiscal management.
Additionally, the Gross Financing Needs (GFN) to GDP ratio is expected to decline from 25.4 per cent in FY2025 to 19.5 per cent by FY2027, indicating moderate risk and a positive outlook for medium-term debt dynamics.
Pakistan’s overall economic outlook has gradually brightened since FY2024, credited to sound policy measures and renewed financial inflows from multilateral and bilateral partners. The successful completion of the IMF’s Stand-By Arrangement (SBA) in April 2024 and the initiation of the Extended Fund Facility (EFF) in early FY2025 have further bolstered confidence among economic stakeholders spurring activity.
The government’s focus on revitalising the economy includes targeted reforms in agriculture, industry, and services, paired with broader governance improvements. These efforts are part of a broader strategy to shift towards investment and export-led growth.
The Special Investment Facilitation Council (SIFC) is at centre of this push attracting private and foreign direct investment particularly in sectors such as agriculture, minerals, information technology, telecom, and energy.
