Bulls remained in charge in Pakistan Stock Exchange as the benchmark KSE-100 Index rose as much as 2% to close above 48,000 points for the first time since August 2021.

The KSE-100 Index gained a staggering 957.6 points or 2.03% to close at 48,034.6 points on Monday amid improved sentiments.

The capital market has gained 6,582 points or more than 15.9% since the government’s staff level agreement with the International Monetary Fund for the $3 billion Standby Arrangement, and was the highest monthly points gain ever, analysts said.

The Index remained positive throughout today’s session touching an intraday high of 48,126.5.

The KSE-100 index has risen sharply since June end as talks with the International Monetary Fund (IMF) over the resumption of a bailout plan started, following which other funding avenues were unlocked.

Pakistan and the IMF agreed on a financial package earlier this month, with the central bank receiving $1.2 billion from the Fund as the first tranche of a $3 billion bailout.

Muhammad Sohail, chief of Karachi-based investment house Topline, said the stock market gains were also driven by the optimism over more investment from Saudi Arabia and the United Arab Emirates.

Pakistan is also hosting a national summit on investment in its large untapped mineral resources this week, which, Sohail said, had also boosted investor confidence.

An analyst at Arif Habib Limited said that the anticipation of more funds from Saudi Arabia and Pakistan Mineral Summit lifted the benchmark Index further to cross the 48,000 mark.

“For July, the KSE-100 Index gained 16.63% in dollar terms, ranking it second after Turkey on the global stage,” he added.

The KSE-100 was close to the 41,000 mark at the end of June just before the IMF agreement. It hit a 2-1/2-year low of just over 38,000 points in January.

The new Stand-By Arrangement (SBA) for $3 billion over nine months, breathed new life into the struggling economy, which was teetering on the brink of default.