Pakistan Stock Exchange crosses 71000 barrier after 358-point rally

Source: Daily Pakistan Global

KARACHI - Pakistan Stock Exchange (PSX) saw rally of more than 350 points in the flagship KSR-100 index that crossed 71,000 points.

The positive sentiment in the money market comes a day after Saudi Arabia's foreign minister landed in an Asian nation with investment deals worth billions.

The stock market has been on the rise following Pakistan's agreement with the International Monetary Fund to unlock the final installment of a stand-by agreement.

Islamabad and IMF reached staff-level agreement on the second and final review of 9-month, $3 billion Stand-By Arrangement. This agreement, if approved by the IMF's board, will release approximately $1.1 billion to Pakistan.

Both sides also discussed negotiating a longer-term bailout and continuing necessary policy reforms to address deficits, build reserves, and manage increasing debt servicing costs.

Pakistan's new government, led by Prime Minister Shehbaz Sharif, has also committed to moving forward with a long-delayed privatization process of state-owned enterprises that have been draining critical funds from the government.