As an IMF statement improves market mood, the PSX rises more than 1,300 points.

As the government and the International Monetary Fund (IMF) moved closer to a staff-level agreement on the first review under the Resilience and Sustainability Facility (RSF) and the second review under the Extended Fund Facility (EFF), the Pakistan Stock Exchange (PSX) got off to a strong start on Thursday.

With a gain of 1,382.51 points, the KSE-100 index has increased by 0.84% to 166,647.25 points.

The stock market’s upward trend follows an official IMF statement highlighting the substantial progress made between the IMF team and Pakistani authorities. Iva Petrova, the head of the IMF mission, led the discussions, which centered on the first review of the Resilience and Sustainability Facility (RSF) and the second review under the Extended Fund Facility (EFF).

Petrova stressed that significant progress had been achieved by both sides in achieving a Staff Level Agreement (SLA) on these economic initiatives. The IMF also emphasized Pakistan’s significant efforts in energy sector reforms, inflation management, and fiscal consolidation—all of which are essential to bolstering the nation’s economy.

The market bounce of today can be attributed to the improvement in investor sentiment brought forth by the IMF’s endorsement. The market’s upbeat reaction is indicative of hope for Pakistan’s continued attempts to enact reforms and strengthen its financial situation. Furthermore, the IMF’s positive assessment contributes to a stabilization of trust in the nation’s economic prospects.

Given the IMF’s advancements, the PSX’s upward trend is probably going to continue as long as investors have hope for the nation’s economic future and the successful conclusion of these important evaluations.