The benchmark KSE-100 Index dropped more than 600 points during Monday’s opening trading hours, sending the Pakistan Stock Exchange (PSX) plunging.

The benchmark index had dropped 635 points and was now trading at 117,806.25.

The PSX’s decline was attributed primarily to selling pressure.

Important industries include fertilizer, auto assemblers, refineries, OMCs, and oil and gas exploration firms. Due to widespread selling, index-heavy stocks such as EFERT, INDU, MARI, OGDC, PPL, and PSO saw negative trading.

Remember that throughout the past week, the PSX has been in a bullish trend, reaching historical highs.

This prolonged increase was fueled by hope for a possible staff-level deal for the International Monetary Fund’s (IMF) $1 billion second EFF tranche.

An agreement has been struck between Pakistan and the International Monetary Fund (IMF) to cut the weighted average tariffs of the nation by half, from the present rate of 10.6 percent to 6 percent over the next five years.

By making Pakistan the nation with the lowest tariffs in South Asia, this calculated effort aims to increase foreign competition in the country’s economy.

The cut is anticipated to directly affect local auto prices, which are predicted to fall due to lower import and associated expenses in the automotive industry.

With the ultimate objective of reaching a 6 percent rate by 2030, the tariff reductions will go into effect in July 2025.

The National Tariff Policy, which seeks to lower tariffs to 7.4 percent by 2030, and the Auto Industry Development and Export Policy (AIDEP), which calls for even more reductions in the automotive sector, will serve as the two main frameworks under which this new policy will be implemented. The tariff will now be set at 7.4 percent, which is little higher than the earlier objective of 7.1 percent, excluding the automobile industry.

Notably, the policy will also result in the removal of various concessions under the fifth schedule of the Customs Act, an 80 percent reduction in regulatory duties, and the total elimination of additional customs duties.

Additionally, beginning in July of this year, a 2 percent duty on zero-tariff slabs and a 7 percent additional customs duty on specific commodities will be eliminated.

The federal government has committed to a 6 percent target, notwithstanding the IMF’s initial proposal to lower the weighted average tariff to 5 percent. Before the end of June, the federal cabinet is anticipated to accept the new tariff policy, which will then be fully implemented in the 2025–2026 budget.

By 2030, all extra customs and regulatory levies pertaining to the automobile industry are expected to be eliminated, with a 20 percent import tariff cap. Significant cuts of 55 to 90 percent will be made to the regulatory duties on automobiles in the first year, with additional reductions to follow in the following years. Along with the steady reduction of current tariffs on various slabs, a new 6 percent customs duty slab will also be created.

President Asif Ali Zardari has awarded Pakistan’s highest civilian honor, the Hilal-e-Imtiaz, to Dubai-based businessman Umar Farooq Zahoor, acknowledging his contributions to the state of Pakistan, particularly for attracting foreign direct investment amounting to hundreds of millions of US dollars.

In August of the previous year, President Asif Ali Zardari granted the Hilal-e-Imtiaz (Crescent of Excellence) to Umar Farooq Zahoor. Farooq was one of more than 100 individuals, both Pakistani and foreign, who were awarded civil honors on Sunday during a special presidential investiture ceremony at the President House in observance of Pakistan Day.

Umar Farooq Zahoor was awarded the civic honor Hilal-e-Imtiaz by the President of Pakistan in recognition of his contributions and exemplary services in attracting hundreds of millions of dollars in direct foreign investment from abroad.

Government sources indicated that Zahoor had facilitated the influx of hundreds of millions in direct foreign investment to Pakistan over the past three years.

This investment has been allocated to infrastructure, ports, and logistics, with projects exceeding $2 billion in diverse sectors, including energy, distribution, agriculture, IT, logistics, and real estate currently under progress.

Zahoor has been instrumental in enhancing bilateral business relations between Pakistan and the Gulf nations, utilizing his extensive regional network and diplomatic acumen to promote investment and economic cooperation.

Upon receiving the Hilal-e-Imtiaz, Umar Farooq Zahoor stated, “This is a moment of great honor and privilege for me.” I take pride in having secured approximately $700 million in direct foreign investment for Pakistan over the past three years. Receiving such a distinguished honor from my homeland is a moment of immense pride for myself, my family, and my friends. I am grateful and humbled by the state of Pakistan for deeming me deserving of this honor. This acknowledges my contributions to Pakistan in attracting investment. I am dedicated to exerting all efforts to bolster Pakistan’s economic development and international stature.

A few months ago, the Intergovernmental Institution for the Use of Micro-algae Spirulina Against Malnutrition (IIMSAM), an autonomous intergovernmental observer to the United Nations Economic and Social Council, appointed Umar Farooq Zahoor as a pro bono ambassador at large to advocate for Spirulina and further the UN Millennium Development Goals in combating global malnutrition.

“Umar Farooq has been appointed Pro Bono Ambassador at Large in the office of the Secretary General,” as stated in a letter from Remigio Maradona, MSA, the Permanent Secretary General.

IIMSAM informed Zahoor that the ambassador will assist in addressing malnutrition by overseeing the global free distribution of Spirulina, particularly in underserved regions, including Pakistan, in accordance with the UN’s Sustainable Development Goals for 2020-2030.

His designation as a pro bono ambassador at large, as stated in the letter from IIMSAM, bolsters the organization’s mission to address malnutrition by enabling the gratuitous distribution of spirulina to underprivileged populations globally, especially in Pakistan, in accordance with the UN’s Sustainable Development Goals for 2020-2030 during the Decade of Action.

IIMSAM operates as an autonomous international observer to the UN Economic and Social Council, a designation conferred by ECOSOC Resolution 2003. The organization is essential in combating worldwide hunger by advocating for and disseminating Spirulina, a very nutritious microalga.