Ahead of the International Monetary Fund (IMF) Executive Board’s meeting, the Pakistani economy has received a significant uplift as Bloomberg recognized the Pakistan Stock Exchange (PSX) as the top market globally for 2024.
This comes at a crucial time when foreign investment in the stock market is rising. According to Bloomberg, the PSX’s KSE-100 Index noted the highest levels of foreign purchases in a decade, with foreign investors buying shares worth $8.7 million in 2024, signalling strong foreign interest and economic indicators within the PSX.
With the IMF set to discuss a new $7 billion bailout package for Pakistan next week, expectations are mounting for increased dollar inflows. Analysts predict that the approval of the IMF program will boost trading on the stock exchange, thereby bolstering investor confidence and market growth.
On a related note, the PSX recently crossed a historic milestone, surpassing 82,000 points to reach its highest level ever. On Friday, the KSE-100 Index climbed by 666 points to close at 82,125 points, reflecting a significant market turnaround.
Despite previous volatility, the PSX has shown a robust recovery in investor confidence. The index continued its ascent, reaching 82,261 points during the day, after initially rising by 635 points to 82,094 points. Although there were dips, including a 50-point drop at the start of trading on Friday, the overall trend displayed strong market sentiment.