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Thursday, March 10, 2011

Capital market: foreign investors' participation increases


KARACHI (March 11, 2011): The foreign investors' participation has significantly increased as every third
available share in Pakistan capital market is owned by the offshore funds, analysts said. With local stock
market players facing severe liquidity crunch amid rising interest rate, the activities of foreign funds have
gained utmost importance in Pakistan, they added.
"In spite of the infamous closure of the Pakistan market for three-and-a-half-months in 2008, the offshore
investors still play a key role in the now less-liquid Karachi bourse", Muhammad Sohail, leading analyst
and CEO of Topline Securities said. Investors in Pakistan wait anxiously for the release of foreign activity
figures by National Clearing Company of Pakistan Limited (NCCPL) after market close and that mainly
dictate the sentiments on the following trading day.