Business

PSX hits another milestone amid monetary easing, upcoming IMF tranche

Published

1 year ago

Farwa

KARACHI: The Pakistan Stock Exchange (PSX) Wednesday breached the 58,000 mark for the first time as analysts credit monetary easing and optimism surrounding the economy after the International Monetary Fund (IMF) tranche for driving the market.

The KSE-100 index gained over 800 to reach 58,203.85 during the intraday trading, up from yesterday’s close of 57,371.59, according to the PSX website.

The KSE-100 index at 12:44pm. — Screengrab/PSX

Arif Habib Limited (AHL) Head of Research Tahir Abbas, while speaking to Geo.tv, said that the market was continuing its positive momentum amid expectations of monetary easing, strong profitability, and certainty on the upcoming general election — slated to take place on February 8 next year.

“Moreover, despite the fact that the market is trading at an all-time high, the valuation of the market is still attractive. The KSE-100 index is currently trading at a PE (price to earning ratio) of 4.3x as compared to the last 5-year average multiple of 6x,” he added.

Meanwhile, Pakistan-Kuwait Head of Research, Samiullah Tariq told Geo.tv that the market is responding to the hopes of IMF board approving the tranche under the SBA as well as the low valuations compared to the region.

A day earlier, the stocks reached another high as investors were optimistic about the prospects of receiving the first loan tranche from the global lender.

The market was buoyed by reports that the IMF board meeting to approve a staff-level agreement on the $700 million loan tranche under the standby agreement for Pakistan could take place in the first week of December, they added.

Business

February 7, 2025: The value of the Pakistani Rupee (PKR) in relation to the US dollar is unchanged.

Published

1 day ago

Farwa

KARACHI: The open market exchange rate between the US dollar and the Pakistani rupee (PKR) was Rs279.4 on February 07, 2025, with a selling rate of Rs281.1. The interbank exchange rate between the US dollar and the Pakistani rupee is Rs 278.45, according to Interbank.

There was no movement in the US dollar (USD) from the previous closure of Rs278.

Business

The NORINCO Group is invited by CM Sindh to explore opportunities.

Published

2 days ago

Farwa

Chinese companies have been invited by Sindh Chief Minister Syed Murad Ali Shah to visit Karachi and other regions of Sindh Province in order to observe the quickly growing businesses and investigate prospects in fields like clean energy, infrastructure development, and public transit projects.

Speaking in Beijing to a delegation headed by the chairman of NORINCO International Co., Ltd., he stated that all facilities required would be provided by the governments of Sindh Province and Pakistan.

With assistance from NORINCO International, the Sindh Chief Minister stated that the Provincial Government will firmly urge North Vehicle and BeiBen to think about setting up a Vehicle Assembly Plant in the Dhabeji Special Economic Zone.

Business

A deal with Pakistan to fight financial crimes has been approved by the Saudi cabinet.

Published

2 days ago

Farwa

In order to strengthen collaboration in the fight against money laundering, terrorist financing, and associated crimes, the Saudi Press Agency announced this week that the Saudi cabinet, led by Crown Prince Mohammed bin Salman, had approved a memorandum of understanding (MoU) with Pakistan’s Financial Monitoring Unit (FMU).

Due to its severe money laundering and terrorism funding issues in recent years, Pakistan was added to the Financial Action Task Force’s (FATF) grey list in June 2018.

The nation was taken off the gray list in October 2022 after enacting extensive measures to fortify its financial system.

The FMU is Pakistan’s financial intelligence unit, created under the Anti-Money Laundering Act of 2010 and tasked with collaborating with foreign partners and evaluating reports of suspicious transactions.

According to the SPA, “the cabinet approved a memorandum of understanding regarding cooperation in exchanging investigations related to money laundering, terrorist financing, and related crimes between the Financial Monitoring Unit in the Islamic Republic of Pakistan and the General Department of Financial Investigation at the Presidency of State Security in the Kingdom of Saudi Arabia.”

The MoU is an indication of Saudi Arabia and Pakistan’s growing strategic partnership. A significant Pakistani diaspora resides in the Kingdom, and numerous Pakistani businesses have established a presence there.

Saudi Arabia has been a key supporter of Pakistan’s economy, bolstering its reserves with substantial deposits in the State Bank of Pakistan and offering deferred oil payment facilities.