Pakistan’s benchmark index posts nearly 100% growth in a year, hits 80,000 barrier

People walk outside the Pakistan Stock Exchange building in Karachi on May 21, 2024. (AN Photo)
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Updated 21 June 2024
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Pakistan’s benchmark index posts nearly 100% growth in a year, hits 80,000 barrier

  • Benchmark KSE 100 index hits all-time high at 80,059.87 level during intraday trading
  • Analysts say surge due to investors’ optimism about Pakistan securing another IMF loan

KARACHI: Pakistan’s key stock index hit an all-time high of 80,000 points on Friday, with data showing the benchmark index posted a growth of nearly 100 percent in a year, as analysts attributed the recent surge to optimistic investors confident Islamabad will extract another bailout package from the International Monetary Fund (IMF).
The benchmark KSE 100 index crossed the key psychological barrier of 80,000 points to hit an all-time high of 80,059.87 points. This is an almost 100 percent increase recorded in the benchmark index since June 21, 2023.
However, following the profit-taking at higher levels— a situation where buyers sell shares at higher prices to gain maximum profit— the index dropped to 78,169 points during trading and closed at 78,810.49 points.
The index figure at the close shows that the benchmark has posted a growth of 96 percent in a year, according to the Pakistan Stock Exchange’s (PSX) data.
“Positive sentiments, led by a tax-laden budget which investors feel will help in getting IMF’s long-term loan, have tossed the index above the 80,000 level which was 40,000 a year back,” Muhammad Sohail, CEO of Topline Securities, told Arab News.
Pakistan’s Finance Minister Muhammad Aurangzeb presented the $67.76 billion federal budget for the fiscal year 2024-25 in parliament on June 12. Analysts expect the budget will play a pivotal role in Pakistan’s negotiations with the IMF to unlock yet another loan from the international lender.
Islamabad has set an ambitious tax revenue generation target of about Rs13 trillion ($46.55 billion) for the year fiscal year 2025 in the budget. The tax collection target has been increased more than 40 percent from the target for the current fiscal year, which ends on June 30.
Pakistan equity investors also celebrated the government’s move to refrain from an anticipated increase in capital gains tax (CGT) and tax on dividend income. In addition, the taxes imposed on the real estate sector will also make the stock market an attractive destination for investment, analysts said.
“Before the budget, there was a rumor in the Pakistan stock market that capital gains tax and tax on dividends is going to be increased,” Shehryar Butt, portfolio manager at Darson Securities said. “But after the budget, those taxes were not imposed. That was positive for the market.”
Butt said the budget presented by the incumbent government seemed to be as per the IMF’s directions and expectations. 
“It is very likely that Pakistan will get a longer program of IMF after presentation of the budget and it has also been marked by international rating agencies including Fitch,” Butt noted, adding that global financial institutions are optimistic about Pakistan achieving its revenue collection target.
Analysts hope the stock market will continue to perform strongly and the KSE 100 index will add another 10,000 points in the coming days.
“Factors that would support the bullish sentiments at the stock market in coming days include inflation and the monetary policy easing,” Tahir Abbas, head of research at Arif Habib Limited, said.
Abbas said average annual inflation is expected to be around 12-12.5 percent while interest rates are expected to decline from the current 20.5 percent figure to around 16 percent in a year.
“Based on these factors we expect that the KSE 100 index would hover around the 88,000 level by the end current year,” he said.


Pakistani women married to Afghan nationals entitled to dual nationality, court rules

Updated 6 sec ago
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Pakistani women married to Afghan nationals entitled to dual nationality, court rules

  • Peshawar High Court issued the verdict on 65 petitions filed by individuals who had Afghan citizenship, married Afghan nationals or had children with them
  • The petitioners moved the court after last year’s directives by Islamabad for all illegal foreigners to leave the country by November 2023 or face arrest

PESHAWAR: A high court in Pakistan has ruled that Pakistani woman married to Afghan nationals were entitled to hold dual nationality despite possessing the Afghan Citizens Card (ACC) or Proof of Registration (PoR), with a lawyer representing petitioners describing the ruling as a “landmark” development.
A two-member bench of the Peshawar High Court (PHC), comprising Justice Arshad Ali and Justice Wiqar Ahmad, issued the 62-page judgment, deciding 65 petitions on issues surrounding Pakistani citizenship filed by individuals who either had ACC or PoR cards, married an Afghan national or had children born to Pakistani-Afghan parents.
The decision, announced on July 9, came after a number of Pakistani and Afghan nationals filed petitions in the high court to seek relief following last year’s directives by the Pakistani government for all illegal foreigners to leave the country by November 2023 or face arrest.
“This is a landmark decision of the Peshawar High Court as several individuals were suffering for years. This is not an issue of these 65 individuals but thousands of individuals who have been suffering over some time now,” Nouman Muhib Kakakhel, one of the lawyers who represented the petitioners, told Arab News on Sunday.
“Pakistan didn’t have any dual nationality law with Afghanistan. This decision will pave the way for many to address their issues in the court.”
The verdict divided the case into four categories, including children born to Pakistani and Afghan parents with ACC or PoR cards issued in their name, Pakistanis holding an ACC who claim dual citizenship, Afghans married to Pakistani nationals seeking PoR or citizenship, and individuals who were Pakistani but were mistakenly declared Afghan and issued ACC cards.
“The situation that emerges from this analysis invariably leads one to a conclusion that a female Pakistani citizen who marries an Afghan citizen can retain dual nationality. Similarly, children born out of such wedlock can also retain their dual nationality of Pakistan as well as Afghanistan till attaining the age of 21 years,” the verdict read.
“They cannot be denied citizenship status as citizens of Pakistan for the reason that they are ACC or PoR holders. Their entry can co-exist, as such in NADRA database as well as in other databases of the government of Pakistan. Their CNICs [computerized national identity cards], if issued already, couldn’t be blocked for the reason that names of such persons have been found in the data of Afghan Citizenship or they have been found to be holders of PoRs.”
About such children, the court ruled that they would be “entitled to citizenship of Pakistan by issuance of Form B, notwithstanding the fact that they have been entered [as] ACC or PoR holders.”
The court ruled that the applications of Pakistani nationals, who had acquired ACC and PoR cards, would be “processed and decided swiftly by realizing that certain citizens of the state are also suffering and their grievances require to be remedied quickly.”
Hayat Roghani, a human rights activist, the verdict would encourage many Afghans and Pakistanis, who had been facing similar issues, to go to a court for relief.
“The Afghan refugees have lived together with Pakistani Pashtuns and have relations with each other,” he said. “The last year’s order of the Pakistan government to expel undocumented foreign nationals to their countries intensified the problems of Pakistanis too.”
Roghani noted that Pakistani Pashtuns and Afghan refugees had shared businesses and married each other, but the directives to expel foreign nationals made things difficult for them both.
“The decision of the Peshawar High Court is a precedent and many others will benefit from it in the future,” he added.


Pakistani minister, Iraqi envoy discuss possibility of free entry visas for pilgrims 

Updated 14 July 2024
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Pakistani minister, Iraqi envoy discuss possibility of free entry visas for pilgrims 

  • Pakistani Shia Muslims Muharram travel to Iraq’s Najaf, Karbala cities during Muharram every year
  • Iraqi envoy assures Pakistan’s interior minister of making travel easier for pilgrims, says state media 

ISLAMABAD: Pakistan’s Interior Minister Mohsin Naqvi discussed the possibility of free entry visas for Pakistani pilgrims into Iraq with the country’s envoy Hamid Abbas Lafta, state-run media reported. 

Iraqi cities of Najaf and Karbala hold tremendous significance for Shia Muslims around the world, including from Pakistan, who travel to these cities during the first two months of the Islamic lunar calendar to recall the sacrifices made by Imam Hussain, the grandson of Prophet Muhammad (peace be upon him). 

Lafta met Naqvi and Chaudhry Salik Hussain, the minister for overseas Pakistanis in Islamabad to discuss ways to improve the travel experience for Pakistani pilgrims in Iraq. 

“The discussion highlighted the possibility of free entry visas for Pakistani pilgrims and increasing the number of people allowed to visit each year,” the Associated Press of Pakistan (APP) reported. 

Pakistan’s national airline last week launched special flights to Najaf city during Muharram for the country’s pilgrims. Pakistan said it would operate return flights for pilgrims from Najaf from July 20. 

Naqvi expressed “serious concern” about travel agents charging Pakistani pilgrims excessive fees, ensuring the Iraqi envoy he would take action against those breaking the law. 

“He also requested the Iraqi government to consider the issue of permitting Pakistani pilgrims to keep their passports while in Iraq,” the APP said. 

The Iraqi ambassador assured full cooperation in making travel easier for Pakistani pilgrims and provided a list of travel agents who had been overcharging visitors, the state media said. 

“The two sides also agreed to quickly finalize a visa waiver agreement for diplomats and officials from both countries,” APP said. 

The APP said both countries are additionally working on a deal that will make it easier for Pakistani workers to obtain work permits in Iraq.


Heavy rains leave 24 dead, 80 injured in Pakistan’s Punjab

Updated 45 min 59 sec ago
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Heavy rains leave 24 dead, 80 injured in Pakistan’s Punjab

  • More heavy rains expected across the province on Monday, Tuesday
  • Authorities warn citizens against unnecessary travel in bad weather

ISLAMABAD: At least 24 people were killed and 80 others injured in rain-related incidents in Pakistan’s Punjab province over the weekend, the Provincial Disaster Management Authority (PDMA) said on Sunday, warning of more showers in the next two days.
Pakistan’s National Disaster Management Authority (NDMA) this month warned that the country’s Punjab and Sindh provinces could face an “emergency” situation due to torrential rains this monsoon season.
Torrential rains lashed Lahore, Sargodha, Toba Tek Singh, Faisalabad, Kot Addu and Bahawalpur cities of the Punjab province in the last two days, according to the Punjab PDMA.
“At least 24 people were killed and another 80 were injured due to torrential rains, while around 40 houses were damaged since Friday across the province,” Punjab PDMA spokesperson Muhammad Mazhar told Arab News.
“Tonight, there are chances of heavy rains in different districts of Punjab, with more heavy rains expected across the province on Monday and Tuesday.”
The provincial government had directed authorities to provide financial compensation to relatives of the victims, according to the PDMA spokesperson.
Mazhar urged people to maintain a safe distance from electric poles and wires, and avoid gatherings on dilapidated roofs during the forecast period.
The PDMA has asked district authorities to activate round-the-clock control rooms to monitor situation in each district.
“Municipalities and the Water and Sanitation Agency (WASA) have been asked to remain vigilant, especially in low-lying areas, and keep de-watering and pumping stations ready,” it said in a statement.
Monsoon rains in Punjab are expected to continue till July 15, while the flow of water in the province’s rivers and barrages is at normal level for the time being.
“In emergency situations, call on PDMA’s flood helpline 1129,” the PDMA added.
Earlier in April, heavy rains triggered landslides and flash floods in Pakistan, leaving 92 people dead and another 116 wounded.
Pakistan’s Punjab reported 21 deaths from lightning and roof collapses while the country’s southwestern Balochistan province reported at least 15 deaths from torrential rains.
The NDMA this month launched a community engagement app for Pakistanis ahead of the monsoon season. The ‘Pak NDMA Disaster Alert’ mobile app generates alerts and updates guidance for organizations and individual responders in national and provincial languages.
Large swathes of the South Asian nation were submerged in 2022 due to extremely heavy monsoon rains and melting glaciers, a phenomenon linked to climate change, that damaged crops and infrastructure. killed at least 1,700 people, displaced millions, and inflicted billions of dollars in losses.


Pakistan court hands death sentence to mobile snatcher for killing Karachi youth 

Updated 14 July 2024
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Pakistan court hands death sentence to mobile snatcher for killing Karachi youth 

  • Man found guilty of shooting dead 21-year-old in Sept. 2018 for resisting robbery 
  • Street crimes and mobile snatchings are rampant in Karachi, a city of 20 million people

ISLAMABAD: A sessions court in Pakistan’s southern port city of Karachi this week sentenced a convict to death on charges of killing a youth in 2018 for resisting robbery.

Additional District and Sessions Judge Ameeruddin sentenced to death convict Shakoor Khan on Saturday for shooting dead Sajid Hussain, 21, when he resisted Khan’s attempt to snatch his mobile phone on September 25, 2018. 

According to the prosecution, Hussain was sitting outside his home in Karachi’s Baldia Town area with his friends when Khan and his accomplice, Shoukat, attempted to rob them. Hussain resisted and a scuffle ensued following which Khan shot Hussain in the chest and fled with the accomplice. Hussain succumbed to his wounds on the way to the hospital. 

“The convict deliberately fired at the deceased from close range while the latter resisted a robbery of a mobile phone alongside co-accused,” the judge’s written order read. 

The court noted that the eyewitness testimonies, police investigation of the crime scene and medical evidence all corroborated the prosecution’s account. 

“Given these circumstances, the death penalty is a fitting punishment as a necessary measure to deter such heinous crimes of murder during robberies and to ensure that justice is served,” the order said. 

Karachi, a metropolis of 20 million that hosts the stock exchange and central bank, has for decades been beset by armed violence. While an armed campaign by the military, with help from police, paramilitary Rangers and intelligence agencies, against armed gangs and suspected militants in the city brought down murder rates after 2013, street crimes have been on the rise again since last year, with shooting deaths in muggings and robberies once again becoming a daily headline. 

The judge ordered Khan to pay compensation of Rs300,000 [$1080] to the legal heirs of the deceased. He also slapped the convict with a 20-year jail sentence for crimes committed under Sections 397 (robbery or dacoity, with an attempt to cause death or grievous hurt) and 392 (punishment for robbery) of the Pakistan Penal Code.

However, the judge said the guilty had the right to appeal against the sentence. 

The court observed that Karachi, once a vibrant city that is also the country’s commercial hub, now grapples with a “troubling surge” in crime rates, particularly mobile snatchings and robberies which are often compounded by acts of murder. 

It said that this surge in crime not only affects the sense of security of the city’s residents but also tarnishes Karachi’s long-held reputation as a prosperous urban center. 

“Stringent measures to deter crime are essential, with a focus on the swift and fair adjudication of robbery and snatching cases within the judicial system,” the court noted. 

“The imposition of appropriate and timely penalties will serve as a powerful deterrent for potential offenders.”


India beat Pakistan to clinch World Championship of Legends cricket tournament 

Updated 14 July 2024
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India beat Pakistan to clinch World Championship of Legends cricket tournament 

  • India chases Pakistan’s 157-run target with five wickets in hand, five balls to spare
  • Ambati Rayudu scores 30-ball fifty, Anureet Singh returns figures of 3-43 for India 

ISLAMABAD: India beat arch-rivals Pakistan in Birmingham on Sunday by five wickets to clinch the World Championship of Legends tournament inspired by impressive performances from Ambati Rayudu and Anureet Singh. 

The World Championship of Legends cricket tournament features retired cricketers taking part in a T20 cricket tournament. This year’s edition features teams from Pakistan, India, England, Australia, West Indies and South Africa. 

Batting first, Pakistan managed to put up 156/6 from their 20 overs. Former Pakistan cricket captain Shoaib Malik top-scored from his side by scoring 41 runs from 36 balls. The only other notable contribution came from Kamran Akmal, who scored 24 runs from 19 balls. 

In response, India achieved the target at the loss of five wickets and in the 20th over of the match, with five balls to spare. 

“Congratulations India Champions,” the WCL account posted on Instagram. “What a finish to the first season of World Championship of Legends.”

Singh kept the Pakistani batters at bay, returning figures of 3-43 while Rayudu top-scored with 50 runs from 30 balls. Pakistan’s Aamer Yamin returned figures of 2-29 while Saeed Ajmal, Wahab Riaz and Malik each took a wicket. 

India Champions qualified for the final after defeating Australia Champions by 86 runs in the second semifinal which was played at the County Ground in Northampton on Friday.

Pakistan Champions, meanwhile, won the first semifinal against the West Indies Champions at the County Ground, Northampton on Friday.