Latest news with #Subprogram-II
Express Tribune
a day ago
- Business
- Express Tribune
PSX extends record rally as KSE-100 crosses 122,000 for first time
Listen to article The Pakistan Stock Exchange (PSX) continued its record-breaking momentum on Thursday, as the KSE-100 index surpassed the 122,000-point mark during intra-day trading for the first time in history. The market opened with the index at 121,886.21. During the session, the index reached a high of 122,281.58 before settling at 121,886.21. The lowest point observed during trading was 121,517.90. Trading volume stood at 82,723,154 shares, with a total transaction value of 4,622,969,368. The market's previous close was 121,798.86. Read: PSX extends record run as KSE-100 closes above 121,000 points for first time This follows the historic milestone of the PSX closing above 121,000 points for the first time just the day before. The recent uptick at the Pakistan Stock Exchange (PSX) comes after the Asian Development Bank (ADB) approved an $800 million financial package for Pakistan under its Resource Mobilization Reform Program (Subprogram-II). The package includes a $300 million policy-based loan and a $500 million program-based guarantee, boosting investor confidence. Earlier, ADB had delayed the package's approval by five days at India's request, as New Delhi sought time to review the loan documents—highlighting procedural loopholes in the bank's framework that permit such deferrals. Read more: ADB approves $800m financial package for Pakistan Yesterday, Ahsan Mehanti of Arif Habib Corp, speaking to The Express Tribune said that stocks closed at an all-time high led by scrips across the board after the ADB loan approval, the growth target and PSDP allocation. He added that expectations of budgetary relief for oil refineries, real estate and agriculture, along with the rupee's recent gains, played a key role in driving investor optimism.
Express Tribune
2 days ago
- Business
- Express Tribune
PSX hits intraday record as KSE-100 crosses 121,000 points for first time
The Pakistan Stock Exchange (PSX) reached a new milestone on Wednesday, with the KSE-100 index breaching the 121,000-point mark for the first time during intra-day trading. The index stood at 121,690.71, gaining 1,239.84 points or 1.03% at the time of this report's filing. The highest point reached during the session so far was 121,736.39, while the lowest was 120,896.13. Total trading volume stood at 218,586,173 shares, with a transaction value of 18,626,764,104. The previous close was 120,450.87. The positive momentum at the PSX follows the recent approval of an $800 million financial package by the Asian Development Bank (ADB) for Pakistan under the Resource Mobilization Reform Program (Subprogram-II). Read more: ADB approves $800m financial package for Pakistan The package consists of a $300 million policy-based loan (PBL) and a $500 million program-based guarantee (PBG), which has helped to bolster investor sentiment. Previously, ADB had postponed the approval of a $800m financing package for Pakistan for five days on the request of India that sought time to evaluate the loan documents, exposing flaws in the lender's rule book that allows such extensions. Earlier on Tuesday, the PSX also saw a record-breaking close, with the KSE-100 index finishing at 120,450.87, marking its first-ever close above the 120,000-point threshold. Also read: PSX closes above 120,000 points for first time The market gained 1,573.07 points, or 1.32%, during the session, reaching an intra-day high of 120,693.83 and a low of 119,129.51. Trading volume that day was 315,235,806 shares, with a total value of 20,897,236,653. The gains on Tuesday were reportedly attributed to positive sentiments in the market ahead of this month's budget announcement. Despite a sharp decline in the market earlier in the week, which saw the KSE-100 index drop by 813 points (0.68%) on Monday due to concerns over proposed tax hikes and inflation, the record highs reflect renewed investor confidence as the country's budget approaches.
Express Tribune
3 days ago
- Business
- Express Tribune
ADB approves $800M financial package for Pakistan
Listen to article The Asian Development Bank (ADB) has approved an $800 million financial package for Pakistan under the Resource Mobilization Reform Program (Subprogram-II). According to the Ministry of Finance, the package includes a $300m policy-based loan (PBL) and a $500m program-based guarantee (PBG). This significant development is the result of joint diplomatic efforts by the Ministry of Economic Affairs and the Ministry of Finance. The initiative aims to enhance domestic resource mobilization and stabilize the economy through financial reforms, ministry officials said. They added that the support will help improve the tax system, increase revenues, and promote fiscal discipline. The program is also expected to broaden the country's revenue base and marks a key step toward economic self-reliance. Read ADB board meets on June 3 to approve $800m Pakistan package According to Asian Development Outlook Annual Report 2025, Pakistan's real gross domestic product (GDP) is expected to grow by 2.5% in the fiscal year 2025, maintaining the same growth rate as in FY2024. ADB projects that Pakistan's growth will increase to 3.0% in FY20. 'Pakistan's economy has benefitted from improved macroeconomic stability through robust reform implementation in areas such as tax policy and energy sector viability,' said ADB Country Director for Pakistan Emma Fan. 'Growth is projected to persist in 2025 and to increase in 2026. Sustained implementation of policy reforms is vital to buttress this growth trajectory and fortify fiscal and external buffers.' Previously, ADB had postponed the approval of a $800m financing package for Pakistan for five days on the request of India that sought time to evaluate the loan documents, exposing flaws in the lender's rule book that allows such extensions. The meeting was rescheduled to June 3, government officials added. Read More: Pakistan, ADB partner to boost climate resilience When contacted, Economic Affairs Secretary Dr Kazim Niaz confirmed that the ADB board meeting was scheduled for May 28 but has been postponed for five days on the request of the Indian executive director. The secretary said that under the ADB rules any director can seek a one-time extension on the date and India took the benefit of this rule. ADB country office did not respond to a request for comment on the development. The Indian move came after it failed to block the approval of the $1 billion worth second loan tranche by the International Monetary Fund. The postponement by ADB underscores that Pakistani representatives in the World Bank, the IMF, the Asian Infrastructure Investment Bank and the ADB will have to adopt a proactive approach to protect the country's economic interests. Also Read: India approves stealth jet plan amid tensions with Pakistan After facing defeat at the hands of the armed forces in the battlefield, India has started lobbying against Islamabad's economic interests. The five-day postponement has not impacted Pakistan's external financing plans and the money is expected to flow in the central bank's accounts after the approval by the board on June 3rd. Tensions between India and Pakistan escalated on April 22, after an attack in Pahalgam area of Indian-Ilegally Occupied Jammu and Kashmir (IIOJK) killed 26 people. India blamed Pakistan for the incident without providing any evidence. Islamabad denied India's claims and called for an independent probe. India then suspended the 65-year-old Indus Waters Treaty, cancelled visas, and closing border crossings leading to tit-for-tat measures by Pakistan. The military engagement further intensified with missile strikes on May 7 targeting several cities in Punjab and Azad Jammu and Kashmir, followed by Pakistan downing Indian warplanes. As hostilities increased, both countries launched military strikes, with India hitting Pakistani airbases and Pakistan retaliating by damaging Indian missile storage sites and other strategic targets. By May 10, US-led diplomatic efforts resulted in a ceasefire agreement, though both countries continue to engage in a war of narratives.
