The previous week saw the market gain considerable upwards momentum aided by MSCI’s review of adding LUCK and TRG. Moreover, the energy chain also performed over the federal government’s nod of clearing the power sector’s receivables. Consequently, the KSE-100 was able to gain over 700pts and inch back towards the 46k levels.
KASB Market View
The upcoming federal budget is likely to fuel investors’ speculation over the market’s momentum. The federal cabinet continues to suggest a growth-centric budget, which may likely drive cyclical stocks including cements, and steels. The energy chain may also sustain its momentum as the payment is likely to be cleared soon.
Pakistan’s economic growth rate projected at 3.94pc
Pakistan’s economy performed beyond expectations with all major macroeconomic indicators showing positive trend amid the Covid-19 pandemic, resulting in a 3.94 per cent economic growth rate this fiscal year, compared to a revised negative 0.47pc in 2019-20.
Divestment of OGDC, PPL shelved over ‘low share price’
The Cabinet Committee on Privatization (CCoP) on Friday shelved the divestment of two state-owned blue-chip oil and gas producers due to high circular debt and adverse market conditions and allowed hiring of a financial advisory consortium to hand over all power distribution companies (Discos) to management contractors.
Textile, clothing exports post impressive growth in April
Pakistan’s exports of textile and clothing rebounded in April mainly due to value-added sectors and posted a robust growth of 231.17 per cent from a year ago, data compiled by the Pakistan Bureau of Statistics (PBS) showed.
Credit profile reflects ‘baa2’ economic strength: Moody’s
The credit profile of Pakistan (issuer rating B3) reflects the country’s “baa2” economic strength, which is underpinned by the robust long-term GDP growth potential and large scale of the economy, balanced against low per capita incomes and global competitiveness, says Moody’s Investors Service (Moody’s).
300MW hydropower plant: $300m loan agreement inked with ADB
The Asian Development Bank (ADB) and the government of Pakistan on Friday signed a $300 million loan agreement to finance the construction of a 300-megawatt hydropower plant in Balakot, Khyber-Pakhtunkhwa.
ECC okays power supply to KE under new payment mechanism
The Economic Coordination Committee (ECC) of the Cabinet on Friday approved delinking past payables and receivables of K-Electric (KE) to be settled through arbitration and its additional future power supplies from national grid under fresh payment mechanism.
NSS sees massive funds outflow in 9MFY21
The National Saving Schemes (NSS) witnessed a massive outflow of investment during the nine months of the current fiscal year compared to large accumulation of funds by the government during previous years.
CCOP shelves plan to sell 10 power distribution firms
A cabinet body on Friday approved the shelving of a plan of all-out sale of 10 power distribution companies and also cancelled two capital market transactions of blue-chip companies, marking a third major shift in privatization policy of the government.
Foreign direct investment falls by 32.5pc in 10MFY21
Foreign direct investment (FDI) fell by over 32 per cent during the 10 months of the current fiscal year compared to the same period in the previous financial year.
Weekly inflation up 0.82pc
The Sensitive Price Indicator (SPI) based weekly inflation for the week ended on May 20 witnessed an increase of 0.82 per cent as compared to the previous week for the combined consumption group.
External debt declines in Q3 by $806m
Pakistan’s external debt and liabilities declined in the third quarter of the current fiscal year (Q3FY21), data issued by the State Bank showed on Friday.