KARACHI:
The year 2024 proved to be a historic one for the Pakistan Stock Exchange (PSX), marked by unprecedented milestones and remarkable returns for investors.
With record-breaking performance, the stock market not only achieved historic benchmarks but also rewarded investors with substantial profits, culminating in a year of extraordinary success.
During 2024, the PSX set multiple records never achieved before in its history. The year saw capital market investors receive an unprecedented 80% return on investments.
For the first time, the market crossed the landmark of 100,000 points. However, this success came after years of challenges faced by investors, particularly during the Pakistan Tehreek-e-Insaf (PTI) government.
The PSX 100 Index recorded an extraordinary gain of 52,807 points over the year. Starting at 62,451 points on January 1, the index soared to an all-time high of 115,258 points by year-end. The overall value of shares increased by an impressive PKR 5.495 trillion during this period.
Record-Breaking Performance Amid Challenges
In 2024, foreign investors sold shares worth $120 million, withdrawing significant capital from the market. Despite this pressure, the PSX displayed remarkable resilience, continuing its upward trajectory.
However, the unexpected and extraordinary growth also sparked concerns and apprehension, leading to unusual volatility in December.
Two December trading sessions highlighted this volatility. In one session, the PSX recorded a historic single-day gain of 4,700 points.
Conversely, another session saw a record-breaking single-day decline of 4,800 points, reflecting heightened uncertainty in the market.
New Listings and Industry Developments
The year also saw nine new companies, from sectors such as finance, pharmaceuticals, food, textiles, and transport, listing on the PSX, offering shares to the public and expanding investor opportunities. However, Pak Suzuki Motors delisted itself from the stock market by buying back its shares.
According to PSX CEO Farrukh Sabzwari, the stock market’s stellar performance was driven by macroeconomic stability, which helped the PSX achieve unprecedented heights. Speaking to The Express Tribune, he highlighted that investors earned an 80% return in 2024 through the capital market.
Sabzwari shared additional insights, noting that 2024 saw five initial public offerings (IPOs) and six new company listings, raising PKR 8.4 billion through IPOs. On a monthly basis, the market witnessed an influx of 7,000 to 7,500 new investors.
Outlook for 2025
Looking ahead, Sabzwari emphasized plans to expand the investor base through awareness campaigns and a focus on fintech and startups in 2025. He expressed optimism about continuing the momentum and driving further growth in the capital market.
With 2024 setting a new standard of achievement, the PSX now aims to sustain its success and enhance its role as a key driver of economic progress in Pakistan.
