The three-day winning streak at the Pakistan Stock Exchange (PSX) came to an end on Wednesday with a slight drop of over 60 points in the benchmark KSE-100 index amid a lack of positive triggers. Sectors contributing to the performance included exploration and production (-50 points), cement (-29 points), banks (-25 points), technology (-23 points) and fertiliser (-11 points).
KASB Market View
We expect the index to be largely driven by key developments in the upcoming federal budget FY22. Furthermore, elevated coal prices can lead to receded participation in Cement sector. Additionally, assurance of payment to IPPs by the end of this week would revive the spark in Power sector.
WB proposes $200m credit facilities for housing sector
The Country Director, World Bank (WB), Najy Benhassine in a meeting with the Federal Minister for Finance and Revenue, Shaukat Tarin shared the Bank’s proposed $200 million credit facilities for various interventions in the housing sector.
GDP growth expected to reach 6% by 2023: Hammad Azhar
In yet another positive development, Federal Minister for Energy Hammad Azhar, who also served as finance minister for a brief period, said the Gross Domestic Product (GDP) growth rate of Pakistan is expected to reach 6 per cent by 2023.
Auction Result: SBP Sells T-Bills worth Rs.832.32 Billion
The State Bank of Pakistan(SBP) conducted an auction on Wednesday in which it sold Market Treasury Bills (MTBs) worth Rs.832.32 billion for 3, 6 and 12 months. Auction target was Rs.700.00 billion against a maturing amount of Rs.700.00 billion.
July-May trade deficit up 29.5pc YoY
The country’s trade deficit increased by 29.5 percent to $ 27.275 billion during the first 11 months (July-May) 2020-21 as compared to $ 21.065 billion in the corresponding period of FY 2019-20.
CDWP approves 12 projects worth Rs30.32bn
The Central Development Working Party (CDWP) approved as many as 12 development projects at the cost of Rs30.32 billion and recommended one project valued at Rs27.9 billion to the Executive Committee of the National Economic Council (ECNEC) for further consideration.
May POL sales up 14pc YoY
Total petroleum and lubricant sales clocked-in at 1.69 million tons in May 2021, depicting an increase of 14 percent on year-on-year basis. Ex- FO growth of 14 percent on YoY and 2 percent on month-on-month basis and meager growth of 1.0 percent on MoM due to week long holidays of Eid and country was under lockdown to slow down impact of third wave resulting in a slow-down in sales volumes, analysts said.
ECC allows PPL to revalidate investment in Iraq
The Economic Coordination Committee (ECC) on Wednesday allowed Pakistan Petroleum Limited (PPL) to revalidate the feasibility of investment in exploration activities in Iraq.
IPPs Pakistan: Govt assures to release Rs 90b by Friday
The government has assured Independent Power Producers (IPPs) in Pakistan to release payment by Friday. CCPA (G) is making efforts to make a Payment transaction by Friday. Cabinet has already approved to make payment to IPPs in Pakistan under agreement.
Glaxo’s Supplier Plans Pakistan’s Largest Pharma IPO
Citi Pharma Ltd., a raw material supplier to the Pakistani units of GlaxoSmithKline Plc and Abbott Laboratories, plans to raise as much as 2.85 billion rupees ($18 million), in potentially the biggest initial share sale by a drug maker in the nation.