KARACHI, Dec 31 (Reuters) - Pakistan’s main stock exchange closed slightly lower on Tuesday despite a year of rapid growth, dealers said.
The benchmark 100-share index of the Karachi Stock Exchange fell 0.09 percent, or 22.82 points, to 25,261.14.
During 2013, Pakistan was again among the world’s top performing stockmarkets with gains of 37 percent if prices given in rupees were translated into U.S. dollars. The value of the Pakistani rupee has declined over the past year, eating into potential profits for foreign investors.
Vahad Ahmed of Topline Securities said that much of the growth was down to foreign investment and relief that Pakistan had accomplished its first democratic transition after national elections in May.
The market has also benefited from a government decree protecting all investments in the stock market from scrutiny from tax authorities.
The stock market still suffered from a paucity of IPOs and difficulty enforcing financial regulations. Brokers or companies that the SECP accuses of fraud are usually fined a pittance.
On Tuesday, Engro Corporation Ltd fell 0.59 percent to 158.99 rupees while Bank of Punjab was up 2.03 percent at 11.06 rupees.
On Tuesday, the rupee ended 105.20/105.25 against the dollar, compared to Monday’s close of 105.58/105.64.
Overnight rates in the money market remained flat at 10.00 percent. (Compiled by the Karachi newsroom)