KARACHI (Dunya News) – The Pakistan Stock Exchange (PSX) began the final trading day of the week on a bearish note as investors reacted to soaring petrol prices and concerns over a potential policy rate hike amid escalating tensions in the Middle East.
During the day, the KSE-100 index fell by 416.80 points , slipping to 151,594.6 points, a decline of 0.27% from the previous close of 152,011.26 points.
Earlier in the day, it witnessed a decline of over 3,000 points to reach 148,796 points.
Sources said IMF has urged the State Bank of Pakistan (SBP) to maintain a strict monetary policy in light of the ongoing tensions in the Middle East.
According to sources from the Ministry of Finance, the IMF warned that the regional unrest could trigger a surge in inflation, emphasizing the need for the central bank to act decisively.
The IMF has recommended that if inflation rises due to the escalating situation in the Middle East, the state bank should increase interest rates proportionately.
The IMF also plans to closely monitor all monetary policy decisions taken by the State Bank in the coming period.