Islamabad, Sep 22: The Pakistan Stock Exchange (PSX) has emerged as the world’s top-performing stock market in 2024, according to Bloomberg, driven by improved macroeconomic conditions and a surge in foreign investment. The PSX’s KSE-100 Index reached an all-time high, closing at 81,459 points, with intraday trading touching 81,865 points.
This marks a 30% growth for the year, positioning PSX as the global leader in stock market performance.
Foreign investors have played a key role in this achievement, purchasing $87 million worth of Pakistani shares, the highest since 2014.
Enhanced economic fundamentals, including improvements in the current account balance and the central bank’s decision to cut interest rates, have further strengthened investor confidence.
The Financial Times Stock Exchange (FTSE) Russell reclassified Pakistan from a secondary emerging market to a frontier market, effective September 23, reflecting Pakistan’s growing appeal. Global investment firm Vanguard Group Inc. holds $160 million in Pakistani stocks and is expected to increase its investments given PSX’s positive outlook.
Despite challenges such as external debt, the market’s upward trajectory, coupled with rising foreign investment, suggests continued growth.
