Pakistan stock market breaches 133,000-mark in new record as investors turn to equities

Stockbrokers interact during a trading session at Pakistan Stock Exchange (PSX) in Karachi on May 12, 2025. (AFP/File)
Short Url
Updated 07 July 2025
Follow

Pakistan stock market breaches 133,000-mark in new record as investors turn to equities

  • Benchmark KSE-100 index rose by 1,421.08 points, or 1.08 percent, in intraday trade
  • Stock analyst says they expect the index to touch 160,000 points by June next year

KARACHI: The Pakistan Stock Exchange (PSX) on Monday crossed the 133,000-point barrier to hit a record high, market data showed, with analysts attributing the rally to hopes of banking dividend payouts and a United States-Pakistan trade deal.

The benchmark KSE-100 index rose by 1,421.08 points, or 1.08 percent, to close at 133,370.14 points, compared to the previous day’s close of 131,949.06 points, according to the PSX website.

“The rally persisted throughout the day, with the index hitting an intraday high of 133,862, fueled by strong performance in banking stocks amid expectations of robust earnings and dividend payouts for the June quarter,” Naveed Nadeem, senior equity trader at Karachi-based Topline Securities brokerage firm, said in their market review.

“Textile stocks also advanced, likely supported by optimism over a potential tariff agreement with the US.”

US President Donald Trump imposed in April steep tariffs on a number of countries, a move widely viewed as a setback for the global economy still recovering from the coronavirus pandemic.

There have been reports that the US and Pakistan, which faced 29 percent tariff on its goods that was paused for three months, have reached an understanding on a deal ahead of a July 9 deadline that could shape the future of the South Asian country’s key export sectors.

While optimism prevailed over a possible trade tariff deal, positive developments over the macroeconomic front also played a key role in driving the bulls at the market.

“Stocks closing to new all-time high showed recovery on receding fears over US trade tariff after a trade agreement was [reportedly] reached, preventing 29 percent trade tariff on Pakistan,” Ahsan Mehanti of Arif Habib Corporation told Arab News.

“Investors weigh surging foreign exchange reserves. Rupee stability and government’s deliberation for privatization of SOEs (state-owned enterprises} played a catalyst role in record surge.”

Pakistan’s stocks have surged as Islamabad moves to consolidate its financial recovery after years of economic turbulence, with the country’s foreign exchange reserves rising to $14.5 billion in June.

In recent years, the South Asian country has implemented tough structural reforms under the International Monetary Fund (IMF) loan programs, aimed at reducing fiscal deficits and restoring investor confidence.

“The regional and geopolitical issues also subsided last month which has further given confidence to local investors,” Shankar Talreja, head of research at Topline Securities, told Arab News, referring to the Pakistan-India and Iran-Israel conflicts.

“We expect the index to touch 160,000 [points] by June 2026.”


Pakistan Supreme Court halts trial of prominent lawyer over alleged anti-military tweets

Updated 57 min 11 sec ago
Follow

Pakistan Supreme Court halts trial of prominent lawyer over alleged anti-military tweets

  • Top court orders lower court to pause proceedings after lawyers allege due-process breaches
  • Mazari-Hazir, husband face charges under cybercrime law that carry up to 14 years in prison

ISLAMABAD: Pakistan’s Supreme Court on Thursday halted the cybercrime trial of prominent human rights lawyer Imaan Mazari-Hazir and her husband, Hadi Ali Chattha, after their lawyers argued that a lower court had recorded witness testimony in their absence, violating due-process rules.

Mazari-Hazir, one of Pakistan’s most outspoken civil liberties lawyers, and Chattha are being prosecuted under the Prevention of Electronic Crimes Act (PECA) over posts on X that authorities say incited ethnic divisions and portrayed the military as involved in “terrorism.” Both reject the allegations. If convicted under the relevant PECA provision, they face a prison term of up to 14 years.

The case has drawn broad attention in Pakistan’s legal community because Mazari-Hazir, who has been repeatedly detained over her criticism of the security establishment, argues that the trial court ignored basic procedural guarantees despite her medical leave request. The case also comes as Pakistan faces sustained scrutiny over the use of PECA against activists, journalists and political dissenters, with lawyers arguing that lower courts often move ahead without meeting minimum fair-trial standards.

The couple’s lawyer, Riasat Ali Azad, said his clients filed a petition in the Supreme Court because the lower court had moved ahead improperly.

“Today, the Supreme Court of Pakistan has stayed the lower court proceedings, the trial court proceedings and has said that the [Islamabad] High Court should decide our pending revision petition for which a date has already been fixed,” he told reporters.

Azad said the violation was clear under Pakistan’s Code of Criminal Procedure, which requires evidence to be recorded in the presence of the accused.

“Yet, on that very day, evidence of four witnesses was recorded in their absence, and a state counsel was appointed to conduct cross-examination on their behalf,” he said. “All these things are against the right to a fair trial under Articles 10 and 10-A.”

A three-judge bench led by Justice Muhammad Hashim Khan Kakar ordered the trial court to pause proceedings and instructed the Islamabad High Court to hear the couple’s pending criminal revision petition first.

The trial had been scheduled to resume on Dec.15, but the Supreme Court’s stay now freezes proceedings before both the additional sessions judge and the special PECA court. 

The Islamabad High Court is expected to hear the criminal revision petition next week.

Chattha, who is also a lawyer, said the SC ruling underscored the need for procedural safeguards.

“It is a victory for the constitution and the law,” he said, arguing that the trial court had ignored their request to re-record witness statements in their presence.