Pakistan’s foreign exchange reserves posted another weekly increase, while the stock market extended its record-breaking run, reflecting growing investor confidence and continued stability in key economic indicators.
According to figures released by the State Bank of Pakistan (SBP), the country’s total liquid foreign exchange reserves climbed to USD 22.646 billion during the week ended May 22, 2026, compared with USD 22.588 billion a week earlier.
The reserves held by the central bank rose by USD 66 million to USD 17.147 billion, up from USD 17.081 billion in the previous week. Meanwhile, foreign reserves maintained by commercial banks slipped slightly to USD 5.499 billion, compared with USD 5.507 billion recorded a week earlier.
The SBP said the improvement in reserves points to continued stability in Pakistan’s external account position. The latest increase also keeps the central bank on track toward its reserve target for the end of the fiscal year.
SBP Governor Jameel Ahmed has previously said that the central bank expects its foreign exchange reserves to reach USD 18 billion by the end of June 2026, supported by inflows and improving external sector conditions.
Market closes near 174,000 points
In a separate development, the Pakistan Stock Exchange continued its strong upward trend on Friday, with the benchmark KSE-100 Index gaining more than 2,200 points as investors responded positively to easing geopolitical tensions and a sharp drop in international oil prices.
The index settled at 173,962.81 points, rising 2,237.52 points, or 1.30 percent, from the previous close.
During the session, the market remained highly active, moving within a range of more than 2,560 points. The KSE-100 touched an intraday high of 174,106.34 points before retreating slightly, while the day’s low stood at 171,545.46 points.
Trading activity remained robust, with 313.69 million shares changing hands within the index.
Buying interest was widespread across the market. Of the 100 companies included in the benchmark index, 81 stocks advanced while 19 declined.
Fertiliser companies provided the biggest support to the rally, followed by gains in cement, investment companies and securities firms, commercial banks, and automobile assemblers.
Broad-based gains across the market
The positive sentiment was also reflected in the broader market.
The All-Share Index closed at 104,178.61 points, up 964.13 points, or 0.93 percent.
Total market volume reached 555.06 million shares, while the value of traded shares stood at Rs40.88 billion. Investors executed 414,064 trades across 490 listed companies.
Among those companies, 298 closed higher, 161 declined, and 31 remained unchanged, highlighting broad participation in the market’s latest rally.
Market participants said improving economic indicators, stronger reserve levels, and lower global oil prices have helped strengthen sentiment, allowing equities to continue their upward march toward new highs.
