Pakistan

Karachi, December 15, 2025 – Independent Power Producers (IPPs) in Pakistan, long undervalued amid sector reforms, are sparking investor excitement through bold diversification moves. According to a latest research note from Arif Habib Limited, companies like Nishat Power Limited (NPL), Nishat (Chunian) Power Limited (NCPL), and Kot Addu Power Company (KAPCO) are transitioning beyond traditional power generation, fueling significant stock gains and attractive dividend prospects. NPL and NCPL Accelerate into Electric and Hybrid Vehicles NPL and NCPL have surged 54% and 80% respectively since announcing their entry into the booming auto sector via NexGen Auto – a joint venture planning to launch new energy vehicles (NEVs) in partnership with the Nishat Group and Chery International. The flagship models include the Jaecoo J7 plug-in hybrid electric vehicle (PHEV), aggressively priced at PKR 10.5 million, and the fully electric Omoda E5 SUV at PKR 8.9 million. The Jaecoo J7 has already seen blockbuster demand, with reports of 3,500 bookings shortly after launch – one of the strongest responses for a new entrant in Pakistan’s automotive market. NexGen Auto is investing heavily, including PKR 14.7 billion for a new CKD assembly plant with 32,000 units annual capacity. Analysts project this venture could add over PKR 30 per share in value to NPL and NCPL, with incremental earnings upside of PKR 2.8–3.3 per share in coming years. Both companies benefited from power sector reforms, recovering billions in receivables under new “Hybrid Take-and-Pay” agreements. This has bolstered balance sheets, enabling high dividend yields of around 9–10% expected for FY27–28. KAPCO’s Turnaround: PPA Renewal and Cement Ambitions KAPCO, operator of Pakistan’s largest multi-fuel power plant, has staged a remarkable recovery. After 12 quarters of gross losses, its Power Purchase Agreement (PPA) for 500 MW has been reinstated for three years under a hybrid model, paving the way for profitability. The company holds a massive PKR 39.7 billion in cash (PKR 45/share) after clearing debts and receivables. KAPCO shares have risen 21% on news of a binding offer, jointly with Fauji Foundation, to acquire an 84% stake in Attock Cement Pakistan Limited (ACPL). ACPL reported strong Q1FY26 results with 61% YoY dispatch growth and margins expanding to 29%. The deal could add PKR 1.9–2.4 per share to KAPCO’s earnings, while maintaining high dividend yields of 13.7%. Arif Habib analysts view these moves as catalysts for re-rating overlooked IPPs, trading at deep discounts despite robust fundamentals. With Pakistan’s SUV market share rising to 17% and cement demand recovering, these diversifications signal a new growth chapter for the sector.

Pakistan’s equity market began the week on a strong note as the KSE-100 Index closed Monday’s trading session at 170,741.34 points, posting a gain of 876.82 points (0.52%). The benchmark index remained firmly in positive territory throughout the day, reflecting sustained investor confidence and broad-based sectoral participation. During the session, the index touched an intraday high of 171,001.71 points, while the day’s low was recorded at 170,292.95 points, highlighting steady buying interest despite minor intraday fluctuations. Market Activity and Breadth Remain Strong Trading volumes remained healthy, with the KSE-100 Index recording a total volume of 410.45 million shares. Market breadth was slightly positive, as 53 index companies closed higher, 46 ended lower, while one stock remained unchanged. The overall tone of the market suggested selective accumulation, particularly in energy, technology, cement, and banking stocks. Top Gainers and Losers on the KSE-100 Leading Gainers The best-performing stocks of the day included: These stocks attracted strong volumes, driven by sector-specific optimism and improved earnings expectations. Top Losers On the downside, selling pressure was seen in: Stocks Driving the Index Higher In terms of index-point contribution, Pakistan Petroleum Limited (PPL) led the rally, adding 198.55 points, followed by: Meanwhile, Hub Power Company (HUBC) and fertilizer sector stocks slightly offset gains, exerting downward pressure on the index. Sector-Wise Performance: Energy and Technology Lead Sectoral performance remained mixed but largely supportive of the upward move. Top Supporting Sectors Sectors Under Pressure Broader Market Snapshot The broader market also mirrored the positive momentum. The All-Share Index closed at 103,176.20 points, gaining 451.08 points (0.44%). Most Active Stocks by Volume High trading activity was observed in: Bigger Picture: KSE-100 Performance in FY and Calendar Year The long-term performance of the market remains impressive: These gains underscore sustained momentum in Pakistan’s equity market, supported by macroeconomic stability expectations, improved liquidity conditions, and renewed investor participation. With the KSE-100 Index holding above the 170,000 level, market sentiment remains constructive in the near term. Continued sector rotation, earnings announcements, and macroeconomic developments will be key drivers to watch in upcoming sessions.

Karachi: Atif Ikram Sheikh, President FPCCI; President ECO-CCI and VP CACCI, has apprised that The Federation of Pakistan Chambers of Commerce & Industry (FPCCI) has announced that it will host the 30th Executive Committee Meeting and the 20th General Assembly Meeting of the ECO Chamber of Commerce & Industry (ECO-CCI) on 22 January 2026 at the FPCCI Head Office in Karachi on the sidelines of 2nd Sustainable Tourism Forum (STF) to be jointly organized by FPCCI and Islamic Chamber of Commerce, Industry and Development (ICCD) during January 21-22. Mr. Atif Ikram Sheikh stated that these ECO-CCI events carry immense strategic importance for the region – as they will help strengthen economic cooperation; expand intra-ECO trade; promote investments; foster business linkages and revitalize the institutional role of ECO-CCI as a key platform for vis-à-vis regional economic integration. FPCCI Chief further disclosed that invitations have already been extended to all ECO Member Chambers – and, FPCCI expects participation from Presidents, senior officials, B2B delegations and sectorial experts from multiple ECO countries. Mr. Atif Ikram Sheikh added that the Sustainable Tourism Forum will also provide a significant platform to highlight the tourism potential of ECO countries; enhance regional cooperation in aviation and hospitality sectors; promote investment opportunities in tourism sector of Pakistan and encourage collaborative initiatives for sustainable and responsible tourism development across the region. FPCCI maintained that hosting these events in Karachi will further strengthen Pakistan’s leadership role in regional economic diplomacy; expand B2B connectivity and reinforce the country’s commitment to deeper economic and trade partnerships within the ECO framework.

Pakistan’s long-standing circular debt crisis is once again emerging as a major roadblock to energy sector growth, putting over $1 billion in gas field investment at risk. Mari Energies Limited has issued a clear warning: without structural reforms and payment assurances, large-scale upstream investments may not move forward. At the center of the issue is the Ghazij–Ghiskori gas field, a strategic asset that could significantly strengthen Pakistan’s domestic gas supply if investment conditions improve. Why Mari Energies Is Holding Back Investment Mari Energies has formally informed the government that it cannot proceed with more than $1 billion in development spending for the Ghazij–Ghiskori gas field due to worsening financial conditions in the gas sector. According to the company, several interconnected issues are undermining cash flows:• Rising LNG imports• Limited domestic gas offtake• Delayed payments caused by circular debt• Uncertainty over long-term gas availability Without firm guarantees on timely payments and assured gas demand, Mari Energies says committing such a large investment would be financially imprudent. Circular Debt at Rs. 2.6 Trillion: A Systemic Risk Pakistan’s circular debt has now reached approximately Rs. 2.6 trillion, creating severe liquidity constraints across the entire energy value chain. This has affected not only private players like Mari Energies but also state-owned exploration and production companies such as:• OGDCL• Pakistan Petroleum Limited (PPL) As receivables pile up, exploration activity slows, drilling budgets shrink, and future production capacity comes under threat. Declining Gas Demand Adds Another Layer of Complexity Citing a study by Wood Mackenzie, Mari Energies highlighted that gas demand, particularly from the power sector has declined in recent years. Key contributing factors include:• High electricity tariffs• Rising taxes and levies on consumers• Persistent supply-demand mismatches at SNGPL• A shift toward alternative fuels in power generation Together, these trends have weakened the commercial viability of new upstream investments. The Proposed Solution: Fertilizer Sector Linkage To unlock stalled investment, Mari Energies has urged the government to support a proposal submitted by the FMPAC (Fertilizer Manufacturers of Pakistan Advisory Council). Under the proposal:• Gas from the Ghazij–Ghiskori field would be supplied to fertilizer plants• A back-up (backfill) gas supply mechanism would be ensured• Total planned investment would exceed $1 billiono $800 million by Mari Energieso $200 million by the fertilizer industry This structure would provide predictable demand, reduce payment risk, and improve project bankability. What’s at Stake if the Proposal Is Rejected Mari Energies has cautioned that if the proposal is withdrawn or delayed, the entire $1 billion investment could be shelved. That would send a strong negative signal to both local and international investors — reinforcing concerns that Pakistan’s energy sector lacks the financial stability needed for long-term capital deployment. The Bigger Picture: Fixing Circular Debt Is No Longer Optional This case highlights a broader reality: Pakistan cannot attract or sustain energy investment without resolving circular debt.Without reform:• Domestic gas production will stagnate• LNG import dependence will increase• Energy costs will remain volatile• Industrial competitiveness will sufferFor policymakers, the message is clear circular debt reform is not just a fiscal issue; it is an investment imperative. Energy Security Depends on Financial Stability The Ghazij–Ghiskori gas field could play a critical role in strengthening Pakistan’s energy security. But unless the government restores confidence through payment discipline, demand assurance, and sectoral reform, billion-dollar investments will continue to remain on hold.Pakistan’s energy future depends not just on resources underground, but on fixing the financial systems above ground.

Karachi, December 15, 2025 – Pakistan’s leading telecommunications provider, Supernet Limited, has taken a significant step towards international expansion by signing a joint collaboration agreement through its wholly-owned UAE subsidiary, Phoenix Global FZE (PGF).The agreement, effective from December 9, 2025, partners PGF with Athena Telecommunications Equipment Trading Co. L.L.C. (Athena Telecom), a UAE-based firm. The three-year pact, renewable by mutual consent, focuses on promoting and delivering advanced solutions in maritime connectivity, safety, security, earth observation, Internet of Things (IoT), and related digital infrastructure across regional and international markets. Read More: https://theboardroompk.com/pibt-and-reko-diq-sign-landmark-agreement-to-enable-multi-billion-dollar-mineral-exports-from-pakistan/ Key features include co-branded offerings, joint sales and marketing initiatives, and project-based revenue-sharing models. This collaboration leverages Athena Telecom’s strong technical expertise alongside Supernet’s established commercial presence to tap into the rapidly growing global maritime connectivity sector.Founded in 1995 and listed on the GEM Board of the Pakistan Stock Exchange (PSX), Supernet is one of Pakistan’s pioneering telecommunications service providers and systems integrators. The company notified the PSX of the development, stating: “In line with the company’s objective to increase its footprints beyond Pakistan… the collaboration enables Supernet Limited—through Phoenix Global FZE—to enter the large and growing global maritime connectivity markets, and expand regional and international revenue streams.”While the immediate financial impact remains uncertain and dependent on specific projects, Supernet anticipates positive long-term commercial benefits from this strategic move.This overseas push comes as Pakistani tech firms increasingly seek diversification amid domestic economic challenges, highlighting opportunities in the Middle East’s booming digital and maritime sectors.

KARACHI, December 15, 2025Pakistan International Bulk Terminal Limited (PIBT) has signed a landmark Agreement with Reko Diq Mining Company (RDMC) for the handling and export of its copper-gold concentrates. The signing follows PIBT’s execution of a Supplemental Implementation Agreement with the Port Qasim Authority (PQA), enabling PIBT to handle, store, and export copper-gold commodities, including minerals, metals, and other natural earth resources. Reko Diq is one of the world’s largest copper-gold mining projects, expected to significantly boost Pakistan’s long-term mineral exports and economic growth. Under this agreement, PIBT will serve as the primary logistics and export gateway for Reko Diq’s mineral output, reinforcing Pakistan’s position as a regional mineral hub. The project is scheduled to commence operations from 2028 onwards. Read More: https://theboardroompk.com/pakistan-expands-outreach-for-mining-and-minerals-investment-courting-german-partnership-after-us-and-france/ This partnership marks a significant step toward unlocking Pakistan’s mineral potential and strengthening its position in the global commodity markets. Commenting on the occasion, Mr. Sharique Azim Siddiqui, CEO of PIBT, expressed his sincere appreciation to the Government of Pakistan, the Special Investment Facilitation Council, the Ministry of Maritime Affairs, and the Port Qasim Authority for their pivotal role in bringing this landmark project to fruition. He emphasized that this agreement is a historic milestone for PIBT and Pakistan, enabling exports from one of the world’s most significant mining projects and serving as a cornerstone for national economic growth. Mark Hill, Barrick Mining Corporation’s Group Chief Operating Officer and Interim President and Chief Executive Officer added: “We’re delighted to have signed this important agreement with PIBT which marks another step forward in ensuring that Reko Diq delivers lasting value to all our stakeholders but particularly the people of Balochistan and Pakistan.” PIBT, located at Port Qasim, is Pakistan’s dedicated, fully mechanized multipurpose bulk handling terminal. Developed with a USD 305 million investment in partnership with the International Finance Corporation (IFC), PIBT plays a critical role in supporting the country’s industrial, energy, and trade infrastructure. PIBT operates in compliance with the World Bank Group’s Environmental, Health, and Safety (EHS) Guidelines, reinforcing its commitment to safety, sustainability, and best international practices. The terminal has a handling capacity of 12 million tonnes of imports and 4 million tonnes of exports per annum, with an additional investment planned to upgrade its export system.

Islamabad, December 15, 2025 – A new report from the World Inequality Lab (WIL) highlights stark economic disparities in Pakistan, revealing that the richest 10% of the population control 59% of the nation’s total wealth, while the top 1% alone account for 24%.The World Inequality Report 2026, published by the Paris School of Economics-hosted WIL, also shows significant income inequality: the top 10% capture 42% of total national income, compared to just 19% for the bottom 50%. Pakistan’s average per capita income stands at around 4,200 euros (in purchasing power parity), with average wealth at 15,700 euros (PPP). Despite a marginal narrowing of the income gap between the top 10% and bottom 50%—from 22.0 to 21.4 times between 2014 and 2024—the report notes that inequality “remains high and shows limited progress over the past decade.” Gender disparities persist, with female labour force participation declining from 9.8% to 8.5%.Globally, the report paints a grim picture: the top 10% own three-quarters of wealth, while the bottom half holds only 2%. The wealthiest 0.001%—fewer than 60,000 multi-millionaires—control more wealth than half of humanity, with their share rising from 4% in 1995 to over 6% today. Billionaires’ wealth has grown at 8% annually since the 1990s, nearly twice the rate for the global bottom half.Experts warn that without structural reforms, including progressive taxation and inclusive policies, such concentrations could exacerbate social divides and hinder sustainable growth in Pakistan.

ISLAMABAD – In a landmark move signaling Pakistan’s embrace of blockchain innovation, the Ministry of Finance signed a Memorandum of Understanding (MoU) with Binance Investments Company Limited on Friday, paving the way for tokenizing up to $2 billion in sovereign assets. The non-binding agreement, inked by Finance Minister Senator Muhammad Aurangzeb and Binance CEO Richard Teng, aims to bolster capital markets through emerging financial technologies, enhancing liquidity and global investor access.This collaboration comes against a backdrop of explosive crypto adoption in Pakistan, where Binance has thrived as one of the most downloaded finance apps—ranking fourth in the category as of early 2025—despite operating without formal government registration or regulatory oversight. With over 20 million smartphone users engaging in peer-to-peer trading and digital asset exchanges, the platform’s popularity has fueled a shadow economy estimated at billions in annual volume. However, this unregulated surge raised red flags: experts warn of heightened risks including money laundering, investor fraud, and capital flight, as transactions evaded anti-money laundering (AML) checks and consumer protections. The State Bank of Pakistan had previously cautioned against crypto’s volatility, yet enforcement lagged, leaving users exposed to scams and market manipulations.The MoU establishes a framework for blockchain-based distribution of assets like government bonds, treasury bills, and commodity reserves, subject to regulatory approvals. Binance may offer technical expertise, training, and advisory support to build compliant infrastructure, ensuring sovereign control and adherence to Pakistani laws. Definitive agreements are targeted within six months.“This is a strong signal of Pakistan’s reform trajectory—a very strong message not only for Pakistan but for the entire world,” Aurangzeb said, crediting top leadership’s vision. Binance founder Changpeng Zhao, present as an advisor to the Pakistan Crypto Council, hailed it as a “landmark development” for the nation’s tech-driven future, promising “positive and lasting outcomes.”This pact underscores Islamabad’s pivot toward responsible innovation, aligning with global standards while mitigating past regulatory voids. As Pakistan’s digital economy matures, it could unlock foreign investment but demands vigilant governance to avert pitfalls seen in other emerging markets.

Islamabad, December 13, 2025 – In a groundbreaking shift for Pakistan’s education landscape, the Inter Boards Coordination Commission (IBCC) Forum has approved allowing students who pass their Secondary School Certificate (SSC) in the Arts Group to register for Higher Secondary School Certificate (HSSC) programs in Pre-Medical and Pre-Engineering, effective from the SSC 1st Annual Examination 2026. This policy, unanimously endorsed in the Forum’s 183rd meeting on December 4-5, aims to dismantle longstanding barriers, offering greater academic mobility and career options to thousands of students. The decision stems from years of advocacy amid Pakistan’s rigid stream selection system, where students as young as 14-15 must choose between Arts, Science, or Commerce without room for reversal. Many, influenced by parental pressure, family expectations, or limited counseling, opt for Arts only to discover later passions for STEM fields like medicine or engineering. This mismatch has left countless talented youth sidelined, forcing them into unrelated humanities degrees or the job market prematurely. Educators and stakeholders have long highlighted how early specialization stifles potential, exacerbating skill gaps in critical sectors. A November proposal by the federal government underscored the need to “broaden access to scientific and technical education,” providing “equal opportunities for academic and professional growth.” Feedback from bodies like the Pakistan Engineering Council (PEC), Pakistan Medical & Dental Council (PM&DC), Higher Education Commission (HEC), and National Curriculum Council (NCC) emphasized boosting STEM enrollment to meet national demands, while addressing dropout rates linked to mismatched streams. The notification, issued December 12, resolves that Arts passers may enroll in these groups, but boards must implement safeguards like minimum marks, merit criteria, or aptitude tests to maintain standards. Final approval rests with Boards of Intermediate and Secondary Education (BISEs) and Boards of Technical Education (BTEs) via their governing bodies. This reform is poised to empower students, fostering a more inclusive system where aptitude, not early choices, dictates futures.