Pakistan’s stock market delivered strong performance during the first nine months of FY2025-26, with the benchmark KSE-100 Index gaining 18.4 percent and market capitalisation rising to Rs16.53 trillion ($59.23 billion), according to the Economic Survey of Pakistan 2025-26.
The survey attributed the positive performance to improving macroeconomic conditions, declining inflation, a stronger external account position, growing investor confidence in the government’s reform agenda, and continued progress under the IMF’s Extended Fund Facility (EFF) programme.
The KSE-100 Index climbed from 125,627 points at the end of June 2025 to 148,743 points by March 31, 2026. During the period, the benchmark reached an all-time high closing level of 189,167 points on January 23, 2026, reflecting strong investor sentiment and increased market participation.
Market capitalisation increased by 8.5 percent, rising from Rs15.24 trillion ($53 billion) at the end of June 2025 to Rs16.53 trillion ($59.23 billion) by the end of March 2026.
Trading activity also witnessed notable growth, with average daily volumes reaching 1.206 billion shares during July-March FY2026, compared to 834 million shares recorded in FY2025. As of March 31, 2026, the Pakistan Stock Exchange had 536 listed companies with a combined listed capital of Rs1.63 trillion.
Despite the overall positive trend, the survey noted that market momentum slowed during February due to tensions with Afghanistan, increasing regional geopolitical risks, rising international oil prices, foreign investor selling, profit-taking activity, and reduced trading volumes during Ramadan.
In a regional comparison, Pakistan ranked among the better-performing stock markets but remained behind South Korea’s KOSPI Index, which surged 64.5 percent during the period. Thailand’s SET Index gained 32.9 percent, Vietnam’s VN30 advanced 23.8 percent, Singapore’s FTSE Straits Times rose 23.2 percent, while the MSCI Emerging Markets Index posted a gain of 13.8 percent.
The survey further noted that some regional markets, including India’s BSE Sensex 30 and the Philippines’ PSEi Composite Index, recorded declines during the same period, highlighting the relative strength of Pakistan’s equity market performance.
