Pak’s stock market gained 87% during 2024 listing pharmaceuticals, jute & transport among the top-performing sectors of the market: Report

ISLAMABAD, Jan 1 (SABAH): The KSE-100 index of the Pakistan Stock Exchange (PSX) recorded an impressive 85% gain in Pakistani rupees and 87% in US dollars during 2024, a report by the country’s top brokerage house said this week, listing pharmaceuticals, jute and transport among the top-performing sectors of the market.

Pakistan’s stock market has enjoyed gains and bullish trends since the past two months. Financial analysts have attributed the stock market’s bullish trend to drastic cuts in key policy rate, strengthening of the rupee and economic gains triggered by Islamabad signing a $7 billion loan with the International Monetary Fund (IMF) this year.

Pakistan’s central bank cut its key policy rate by 200 basis points to 13% on Dec. 16, making it the fifth straight reduction since June, as the country keeps up efforts to revive a sluggish economy with inflation on the decline as per official figures.

According to a yearly market review by Topline Securities, the market capitalization of companies listed at the Pakistan Stock Exchange (PSX) increased by 61% to reach Rs14.6 trillion this year.

“Benchmark KSE 100 Index jumped 85% in PKR (87% in USD) in 2024, with only one trading session left,” the report said. “Market value (market capitalization) of listed companies at PSX also increased by 61% to reach Rs14.6trn.”

The report pointed out that pharmaceuticals, jute and transport were the best performing sectors in 2024 as their market cap increased by 198%, 182% and 130% respectively. On the other hand, chemicals, modarabas, and textile weaving sectors remained the worst performing sectors that posted declines of 54%, 33% and 2%, respectively in 2024.

Pakistan’s Prime Minister Shehbaz Sharif also expressed his happiness over the Pakistani stock market’s performance in a post on social media platform X.