Expect the market to rally north amid positive news flow on both economic and political fronts, where Saudi Arabia has agreed to provide a US$1.2bn deferred oil facility along with US$3bn deposits in SBP. This latest development will help Pakistan to negotiate better terms with IMF to revive the stalled EFF program.
Moreover, IMF has allowed Pakistan to utilize US$2.78bn Covid support fund for meeting budgetary needs.
On the political front, the Prime Minister has notified the appointment of Lt. General Nadeem Anjum as the new DG Inter-Services Intelligence (ISI).
We would advise buying in Tech (TRG, AVN, SYS), Power (KAPCO), Banks (MEBL, BAFL, UBL), Textiles (ILP, NML) and Chemicals (EPCL).
Courtesy – IMS Research