The Pakistan Stock Exchange (PSX) had a sharp downturn on Tuesday, with shares falling more than 600 points during intraday trade.
By 12:22 PM, the benchmark KSE-100 index had dropped 622.46 points, or 0.76%, to close at 81,214.45 points, down from 81,850.50 points at the previous closing.
Raza Jafri, CEO of EFG Hermes Pakistan, ascribed the market’s decline to the underwhelming outcomes of state-run oil exploration firms. He added that there was pressure on independent power producers (IPPs) because of rumors that the government was going to change the terms of their contracts.
In an effort to reduce “unsustainable” electricity costs, the government stated earlier this month that it was renegotiating contracts with IPPs.
