Business

Parliamentary panel flags decline in exports

Published

5 days ago

February 5, 2026

ISLAMABAD: A parliamentary committee on Wednesday expressed concern over the continued decline in commodity exports, while the commerce ministry maintained its stance, outlining proposed policy measures to promote exports.

The National Assembly Standing Committee on Commerce, chaired by Jawed Hanif Khan, met to deliberate on legislative business and a Calling Attention Notice on export performance, alongside wider economic and trade issues, including the management of the trade deficit and prevailing investment trends.

Senior officials of the commerce ministry briefed the committee on the forthcoming Strategic Trade Policy Framework, sector-specific roadmaps for major export industries, and the National Tariff Policy 2025-30. However, no specific reasons were given for the export slump.

The bureaucrats outlined a range of additional measures aimed at lowering the cost of doing business, including rationalisation of industrial energy tariffs, concessional financing, timely clearance of exporters’ refunds, abolition of the Export Development Surcharge, and simplification of trade regulations.

However, they did not explain the extent to which these steps would translate into measurable cost reductions for exporters or into improvements in their competitiveness.

The committee was told that steps were being taken to retain GSP+ status, review existing trade agreements, and pursue new FTAs and PTAs, with officials reiterating the government’s commitment to maintaining a predictable, export-friendly environment through sustained reforms and public-private partnership amid global trade challenges.

Regarding the trade deficit, the ministry apprised the committee that Pakistan continues to face pressure due to limited export earnings and its reliance on remittances to support the external account. It was further stated that while remittances have provided short-term relief, sustainable economic stability requires a significant increase in exports.

The committee discussed the revision of irrational value-addition norms prescribed under SRO 760(I) 2013 for the import and export of precious metals and jewellery. Mr Hanif directed that the State Bank and all relevant stakeholders be called to comprehensively review and discuss the matter, and that the issue be taken up again in the next meeting.

The committee constituted a sub-committee on the Life Insurance Nationalisation (Amendment) Bill 2026 under the convenorship of MNA Dr Mirza Ikhtiar Baig. The chairman directed that all relevant stakeholders be invited to participate in the sub-committee’s deliberations and emphasised that the matter be examined comprehensively, with recommendations formulated to benefit both employees and stakeholders.

The CEO of State Life Insurance Corporation of Pakistan briefed the committee on the corporation’s strategic investment framework and the performance of its diversified investment portfolio. The briefing covered fund management, liquidity, dividend policy, and measures to stabilise the financial market.

Published in Dawn, February 5th, 2026

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Business

Stocks lose another 1,789 points amid volatility

Published

2 hours ago

February 10, 2026

hussainbinnoman3@gmail.com

KARACHI: As the Pakistan Stock Exchange (PSX) switched to a faster T+1 settlement cycle on Monday, market volatility persisted amid a dearth of positive triggers, as shaky investors continued taking profits amid broader economic concerns, pulling the benchmark index below the 181,000-point barrier intraday.

Topline Securities Ltd said the KSE-100 index closed lower at 182,340.38 points, shedding 1,789.20 points after a highly volatile session. The benchmark index moved within a wide range, touching an intraday high of 185,650.60 points before slipping to a low of 180,992.80 points.

The decline was led by heavyweight stocks, with Oil and Gas Development Company, Meezan Bank, Pakistan Petroleum Ltd, United Bank Ltd and Lucky Cement together dragging the index down by 932 points. These losses were partially offset by gains in select large-cap stocks, including Sazgar Engineering Works Ltd, MCB Bank and Nestle Pakistan, which collectively added around 220 points.

Market activity weakened, with total traded volume falling 26.8pc to about 931 million shares, while the value of shares traded declined 2.45pc to Rs58.8bn. K-Electric dominated volumes, with approximately 302 million shares traded.

PSX makes smooth transition to faster T+1 settlement system

Ali Najib, Deputy Head of Trading at Arif Habib Ltd (AHL), said the benchmark index opened on a positive note and climbed to an intraday high of 185,651 points. However, sentiment turned negative as the session progressed, with institutional selling triggering a sharp pullback.

He noted that the transition from T+2 to T+1 settlement was implemented smoothly and should be viewed as a structural change rather than a driver of prevailing market trends.

The T+1 replaces the previous T+2 system, meaning equities and deliverable futures trades will settle one business day after the trade date, accelerating the transfer of funds and securities, reducing risk, and improving market liquidity.

On the corporate side, Meezan Bank Ltd announced earnings per share of Rs11.88 for 4QCY25 along with a dividend of Rs7 per share, supported by improved spreads and deposit growth, although weaker non-funded income weighed on profitability. Allied Bank Ltd reported 4QCY25 earnings of Rs3.29 per share and declared a dividend of Rs1.75; quarterly earnings declined due to higher costs and subdued non-interest income, while full-year indicators showed improvement.

Analysts said the broader market trend remained one of consolidation, with the KSE-100 expected to trade in a volatile range between 180,000 and 190,000 points in the near term.

Published in Dawn, February 10th, 2026

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Business

SBP revises up GDP growth for FY26

Published

2 hours ago

February 10, 2026

hussainbinnoman3@gmail.com

KARACHI: The State Bank of Pakistan (SBP) has projected upward GDP growth in the wake of increased economic activity and continued momentum in high-frequency indicators.

The SBP released the data and analysis in the bi-annual Monetary Policy Report on Monday, noting that the growth outlook for FY26 has improved by 0.5 percentage points relative to the previous report, and real GDP growth is now projected at 3.75-4.75pc in FY26, with further improvement expected in FY27.

The economic growth has picked up noticeably, as reflected by higher year-on-year growth in Q1FY26 and improving trends in agricultural and industrial production, with positive spillovers expected for services sector activity, said the report.

Inflation is projected to remain within the 5-7pc target range for most of FY26 and FY27, despite near-term volatility, the report said.

The report noted that macroeconomic conditions and the outlook have improved, supported by a prudent monetary policy stance and continued fiscal consolidation.

The current account deficit is projected to remain contained at 0-1pc of GDP in FY26, with a higher trade deficit partly offset by robust workers’ remittances and planned official inflows.

As a result, SBP’s foreign exchange reserves are expected to rise to $18bn by June 2026.

The SBP recently reduced the CRR from 6pc to 5pc to increase banks’ liquidity and enhance the availability of funds to the private sector.

Published in Dawn, February 10th, 2026

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