AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Karachi: The KSE-100 Index experienced a significant drop, shedding 563 points to close at 135,940, with a trading volume of 877 million shares. Throughout the day, notable performances were observed in PSEL, POML, and ABL, while SEARL, KTML, and GADT marked the top decliners. The primary trading activity was concentrated in the banking, investment companies, and technology sectors.
In parallel economic developments, the government has increased the petrol price by Rs5.36 and high-speed diesel by Rs11.37, reflecting ongoing adjustments in energy costs. In a related move, the government has also reduced RLNG prices by up to 2.68% for July, amid attempts to manage energy supply and pricing efficiently.
The financial sector saw a surge in bank lending to the government, surpassing Rs44 trillion, while banking sector deposits rose to Rs35.498 trillion in June. Additionally, the Asian Development Bank has put forth a recommendation for a 5% GST on digital transactions, aiming to streamline fiscal measures.
On the industrial front, factory output rebounded in May with a 2.29% growth, indicating a recovery in manufacturing activities. The automobile CKD market is projected to grow by over 20%, suggesting a positive outlook for the automotive industry.
Meanwhile, discussions between traders and the government have led to an agreement to defer a planned strike, originally supported by the Chainstore Association and SITE Association, after notable progress in negotiations, according to the Finance Ministry.
Amid these developments, Pakistan is seeking Qatar’s approval to divert LNG cargoes amid a supply glut, and preparations are underway for an economic assessment by a team from the Japan International Cooperation Agency (JICA).
These economic shifts coincide with calls for Moody’s to improve Pakistan’s credit rating and a backdrop of ongoing payments to Chinese Independent Power Producers (IPPs), reflecting the complexities of managing Pakistan’s economic landscape.