PSX Sees Bullish Return with Over 2,800 Points Gain Following Budget

Jun 13, 2024 - 14:22

PSX Sees Bullish Return with Over 2,800 Points Gain Following Budget

Islamabad: Bulls returned to the Pakistan Stock Exchange (PSX) on Thursday — a day after the government presented budget for FY2024-25.

The KSE-100 index gained 2809 points, or 3.75 per cent to stand at 75,608 at 12:47pm.

Analysts attributed the upward trajectory to the government’s willingness to unlock a deal with the International Monetary Fund (IMF) after the budget.

Analysts expect the budget for the fiscal year to June 2025 to set ambitious fiscal targets as it looks to strengthen the case for a new bailout deal with the International Monetary Fund (IMF).

Pakistan budget 2024-25

Minister for Finance and Revenue Muhammad Aurangzeb Wednesday presented Pakistan’s budget for the fiscal year 2024-25 with a total outlay of Rs18.877 trillion.

Outlining the budget points, Finance Minister Muhammad Aurangzeb said that the gross domestic project (GDP) growth target for the fiscal year 2024-25 is fixed at 3.6pc, whereas the inflation rate is expected to remain 12pc.

He said that the budget deficit to GDP during the period under review is estimated at 6.9pc, whereas the primary surplus during the review period is projected at 1.0pc of the GDP.

The minister said that the Revenue collection of the Federal Board of Revenue is estimated to Rs12,970 billion during up-coming fiscal year, adding that tax revenue collection during the current fiscal year grew by 38 percent and the provincial share would be Rs7,438 billion.

He said that the non-tax revenue targets of the federation are fixed at Rs3,587 billion, whereas the net income of the federal government would be Rs9,119 billion.

The total expenditures of the federal government is estimated at Rs18,877 billion out of the total amount of Rs9,775 billion would be spent on interest payments.