Spokesman Report
KARACHI: The Pakistan Stock Exchange (PSX) crashed on Friday, dropping more than 2,000 points early Friday, falling below the 72,000 level.
The benchmark KSE-100 Index opened with a bearish trend. At 09:52 am, the index plunged by over 2,000 points to the lowest level of 71,781.96.
The KSE-100 index recovered at 11:17am and was trading at 72,775.68, down by 1,087.25 points.
Experts attributed the decline to concerns over the budget proposals for 2024-2025.
Throughout the week, the index had been under consistent pressure, losing ground each session.
The budget 2024-25 which was earlier scheduled to be presented on June 10 is now likely to be presented on June 12.
The Pakistan Economic Survey 2023-24 will be presented on June 11 after a meeting of the council on June 10, the sources said.
The federal budget 2024-25 will likely get approval from the Senate by June 26. The Pakistani government is likely to end tax exemptions in the FY2024-25 budget on IMF’s demand.
According to budget proposals for the budget 2024-25, Pakistan is likely to end exemption on sales and income tax, phase-wise.
The government is also considering imposing a sales tax on tractors and pesticides, potentially leading to price hikes for these essential agricultural products.