Stocks Continue Upward Momentum Amid Surge in Remittances, Reserve Optimism
The Pakistan Stock Exchange (PSX) witnessed another strong trading session on Tuesday, with the benchmark KSE-100 Index extending its rally thanks to investor optimism fueled by record-high remittances and encouraging comments from the central bank regarding foreign exchange reserves and upcoming external financing.
The KSE-100 Index touched an intraday peak of 117,362.22, marking an increase of 972.19 points or 0.84% from Monday’s close of 116,390.03. Even the day’s lowest level—116,645.68—reflected a gain of 255.65 points or 0.22%, underscoring consistent market confidence.
Positive sentiment was driven in large part by remarks from State Bank of Pakistan (SBP) Governor Jameel Ahmad. In a recent interview with Geo News, he projected that the country’s foreign reserves could climb to $14 billion by June 2025. He noted that Pakistan would need to make $2 billion in external payments over the coming two and a half months, while anticipated inflows of $4–5 billion during the same period could result in a net reserve gain of $2–3 billion.
Governor Ahmad further estimated that remittances for the ongoing fiscal year (FY25) could reach a historic $38 billion, compared to $30.25 billion in FY24. This surge is credited to a shift toward formal remittance channels, effective exchange rate policies, and increased confidence in the banking system.
According to SBP data published Monday, overseas Pakistanis remitted $4.1 billion in March—setting a new monthly record. This figure represents a 37% increase compared to March 2024 and a 29.8% jump from February. Overall remittances for the first nine months of FY25 totaled $28 billion, reflecting a 33.2% year-on-year rise.
The strong gains continued from Monday’s session when the index had surged by 1,536.70 points or 1.34%, closing at 116,390.03 and recovering losses sustained in the previous week.
