KSE-100 Index Hits Record High as Debt Agreement and Global Partnerships Boost Market

Pakistan Stock Exchange touches historic 163,847 points amid investor optimism KARACHI — September 29, 2025 The Pakistan Stock Exchange (PSX) soared to a historic milestone on Monday, with the benchmark KSE-100 Index crossing the 163,000 mark for the first time ever. Investor confidence surged on the back of a major circular debt settlement, improved global relations, and steady macroeconomic indicators. According to market data, the KSE-100 Index closed at 163,847.68 points, gaining 1,590.68 points or 0.98% from the previous close of 162,257.00. The index touched an intraday peak of 163,903.62 points, while the day’s lowest level was recorded at 162,058.64 points. Investor Sentiment Strengthens Analysts noted that easing inflation expectations and the conversion of fixed-income investments into equities fueled the bullish run. > “The market is being rerated due to stable macro fundamentals, improved foreign relations, and reduced rollover risks,” said Ahfaz Mustafa, CEO of Ismail Iqbal Securities. Last week’s historic momentum carried forward, following Prime Minister Shehbaz Sharif’s meeting with US President Donald Trump, Pakistan’s Rs1.2 trillion debt settlement deal with commercial banks, and positive signals from Saudi Arabia regarding fresh investments. Key Market Drivers Circular Debt Deal: The Rs1.225 trillion financing agreement significantly lifted investor morale. Foreign Exchange Reserves: The State Bank of Pakistan reported reserves at $14.4 billion, up by $22 million. Rupee Movement: The local currency strengthened slightly by 0.03%, closing at Rs281.37 against the US dollar. Global Partnerships: Japan announced plans to invest in the Reko Diq project, while Pakistan sought tariff concessions from China on 700 products. Sectoral Outlook Market watchers expect sustained momentum in banking, energy, and power stocks, though challenges linked to IMF conditionalities and external financing requirements remain potential risks. Recent Performance On Friday’s trading session, the KSE-100 Index had already rallied by 2,976.92 points (1.87%), closing at 162,257.01. Monday’s advance marked a continuation of this strong upward trend, pushing the stock market to unprecedented levels.

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