Macro Analysis /

Pakistan Economy – Macro estimates revision

  • We now assume higher inflation and interest rates and a weaker exchange rate for FY22/23f

  • We have also increased the risk-free rate in our models to 11% from 10.5% earlier

  • Market P/E of 5.6x suggests monetary tightening is also priced in, and further valuation de-rating should be limited

Saad Ali
Saad Ali

Head of Research

Intermarket Securities
11 November 2021