The benchmark KSE-100 Index gained 918.92 points or 1.54% to reach 60,730.26 levels at the closing of the trading session.

Similarly, the KSE-30 Index gained 379.09 points or 1.91% to reach 20,239.63 points at the closing of the market.

Earlier, the Asian Development Bank approved a loan of $180 million for multiple development schemes in Pakistan.

The money has been earmarked for schemes to provide clean water in Rawalpindi and manage solid waste in Bahawalpur.

Reports said that the schemes will benefit 1.5 million people.

Read: IMF team arrives in Islamabad for tax talks

Pakistan expects to receive almost $2 billion from multiple international lenders including the ADB over the next month.

The market recovered to the 53,000-point mark in early November after a gap of six years, till then its highest level in history.

Since then, each 1,000-point mark has set a new record for the market.

In addition to the IMF deal, analysts have attributed the performance of the market to fiscal discipline by the government as well as a clampdown on the smuggling and manipulation of the dollar.