The Pakistan Stock Exchange (PSX) crossed the 141,000 barrier on Friday to the back of a new commercial agreement with the United States and ensuring a lower tariff rate.
The PSX recovered its bullish impulse after immersing itself in up to 433 points in the morning. The Reference KSE-100 index increased by 483.07 points (0.35 percent) to reach 139,873.49 points at 12 pm, from the previous closure of 139,390.42 points.
The index increased by 1,644.56 points, or more by 1.18pc, to close by 141,034.98.
Having witnessed a strong sales pressure on Tuesday due to corporate profits and political noise, the PSX had recovered above the 139,000 brands yesterday, promoted by the commercial agreement with the United States.
Late on Wednesday, a Pakistani delegation led by Finance Minister Muhammad Aurengzeb in Washington, DC, concluded a commercial agreement with the United States, which is expected to reduce tariffs, although no figure was announced. The president of the United States, Donald Trump, also said that Washington would help Islamabad develop “massive oil deposits.”
In his statement issued today, the Ministry of Finance said the Government was “pleased to announce the successful conclusion of discussions related to the rate” with the United States.
“According to the result of these conversations, a 19 percent tariff will be applicable for Pakistani exports to the US market,” he said.
The statement indicated that the decision reflected a “balanced approach and with a vision of the future by the US authorities, keeping Pakistan competitive in relation to other countries in the south and Southeast Asia.”
“In particular, this tariff level is expected to support Pakistan’s export potential, especially in key sectors such as textiles, which remain the backbone of the country’s export economy,” said the ministry.
