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PSX sets new record as KSE-100 crosses 63,000 mark

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KARACHI: Bulls on Monday gripped the Pakistan Stock Exchange (PSX) as the benchmark index achieved a new milestone by crossing the 63,000 mark for the first time. 

According to the PSX website, the benchmark KSE-100 index gained 447.13 points or 0.71% to reach 63,403.15 points during the intraday trading at 10:59am. 

KSE-100 index. — PSX website
KSE-100 index. — PSX website 

Pakistan-Kuwait Head of Research, Samiullah Tariq, told Geo.tv that major catalysts for the recent bull run in the equity market include strong profitability, attractive valuation, and expectations of a reduction in interest rate — scheduled to be announced on December 12.

He added that the “market should remain bullish in the coming days”.  

A day earlier, stocks were boosted by expectations of improved economic conditions following signs of progress in securing financial support from the International Monetary Fund (IMF) and friendly countries. 

Benchmark KSE-100 index rose 0.74% or 463 points to close at 62,956 points. 

Investors were confident about the outlook for the economy, which has shown some improvement in key indicators such as trade deficit, remittances and exports. The local currency also remained stable and gained for the sixth consecutive session.

“There is a positive sentiment in the market, driven by optimistic expectations of an improved economic landscape,” said analyst Naveed Nadeem at Topline Securities. 

“This positive outlook is supported by anticipated financial inflows from the IMF and friendly countries. Additionally, there is speculation about a potential reduction in interest rates in the upcoming monetary policy committee meeting, further enhancing the positive environment.”

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In January 2025, RDA inflows reach 9.564 billion USD.

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Remittances under the Roshan Digital Account (RDA) increased from US $9.342 billion at the end of 2024 to US $9.564 billion by the end of January 2025.

The most recent data issued by the State Bank of Pakistan (SBP) revealed that remittance inflows in January totaled US$222 million, compared to US$203 million in December and US$186 million in November 2024.

Millions of Non-Resident Pakistanis (NRPs), including those who own a Non-Resident Pakistan Origin Card (POC), desire to engage in banking, payment, and investing activities in Pakistan using these accounts, which offer cutting-edge banking options.

Nearly 778,697 accounts were registered under the scheme by the end of January 2025, according to the data.

By the end of January, foreign-born Pakistanis had contributed US $59 million to Roshan Equity Investment, US $479 million to Naya Pakistan Certificates, and US $799 to Naya Pakistan Islamic Certificates.

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FBR lowers Karachi’s built-up structure property valuation rates

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A year-by-year breakdown of the depreciation value of residential and commercial built-up properties is included in the updated property valuation rates for Karachi that the FBR has announced.

The notification said that built-up structural values on residential property will be gradually reduced.

A residential home’s built-up structure, which is five to ten years old, will lose five percent of its worth.

In a similar vein, constructions between the ages of 10 and 15 will lose 7.5% of their value, while those between the ages of 15 and 25 would lose 10%. Built-up structures that are more than 25 years old will be valued similarly to an open plot.

Furthermore, age will also be used to lower the valuation of built-up properties, such as apartments and flats.

Structures that are five to ten years old will depreciate by ten percent, while those that are ten to twenty years old will depreciate by twenty percent. A 30% depreciation will be applied to properties that are 20 to 30 years old, while a 50% reduction will be applied to those that are above 30 years old.

In terms of commercial built-up properties, buildings that are 10 to 15 years old will lose 5% of their value, while those that are 15 to 25 years old will lose 8%. The value of properties that are more than 25 years old will drop by 10%.

In contrast, there would be a 15% boost in the value of commercial properties in the Defence Housing Authority (DHA) that face any Khayaban.

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Remittances Increase 25.2% in January 2025: $3.0 Billion Inflow

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Remittances from Pakistani workers totalled US$3.0 billion in January 2025, representing a 25.2% increase from the previous year.

The cumulative remittances for July through January of FY25 were 20.8 billion dollars, up 31.7 percent from 15.8 billion dollars during the same period in FY24.

In January 2025, the United States of America contributed 298.5 million dollars, the United Kingdom contributed 443.6 million dollars, the United Arab Emirates contributed 621.7 million dollars, and Saudi Arabia contributed 728.3 million dollars.

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