PSX hits record high following announcement of electricity tariff cuts

(Web Desk): The Pakistan Stock Exchange (PSX) reached an all-time high on Thursday, fueled by strong investor confidence following the government's announcement of major electricity tariff cuts.

The benchmark KSE-100 Index surged by 1,131.37 points (0.96%), closing at 118,938.11. During the day, it hit an intraday high of 119,179.45, up 1,372.71 points (1.17%) from the previous close of 117,806.74. The day's lowest point was 117,508.07.

The rally was triggered by Prime Minister Shehbaz Sharif's announcement of a significant reduction in electricity rates. Speaking at an event in Islamabad, Sharif revealed that domestic consumers would see a reduction of Rs7.41 per unit, lowering the rate to Rs34 per unit, while industrial users would benefit from a Rs7.59 per unit cut. This tariff reduction is part of the government’s strategy to boost economic growth and ease inflation.

The reduction had been approved by the National Electric Power Regulatory Authority (Nepra) after discussions with the International Monetary Fund (IMF), which had earlier agreed to a smaller Re1 per kWh cut as part of its $7 billion loan program.

This surge in the stock market came after a quieter session on Friday, where the KSE-100 rose slightly by 34.43 points (0.03%).