Pakistan Stock Exchange KSE-100 Index Surges 860 Points

Karachi, May 6 (PTI) The Pakistan Stock Exchange's benchmark KSE-100 index surged again by 860 points on Monday with optimism prevailing that a visit by a high level Saudi investment delegation would lead to more trade and economic growth opportunities for cash-strapped Pakistan.

According to the PSX website, the KSE-100 index gained 862.15 points, or 1.2 per cent, to close at 72,764.24 from the previous close of 71,902.09.

This shows a 73.4pc over the past year and is up 12.9 per cent this year to date.

Financial analysts put down the surge in the shares market to optimism surrounding the Saudi investment delegation's visit, which is looking for more investment opportunities in Pakistan.

"Add to that the statement from the International Monetary Fund that its delegation would visit Pakistan to open talks on another package for Pakistan,” Intikhab at Capital Investments said.

The Saudi delegation is expected to discuss trade and investment opportunities, particularly in the exploration and production sectors.

Intikhab said that with Pakistan having completed a short-term USD 3 billion programme with the IMF, which bailed the country out of any default, the business community is optimistic that the government of Prime Minister Shehbaz Sharif will be able to get another longer term-programme from the global lender.

The IMF said on Sunday its delegation would visit Pakistan to discuss the new programme soon but no dates have been specified as yet.

Indications are that Pakistan might seek a $6 billion package and request additional financing from the IMF under the Resilience and Sustainability Trust.