ISLAMABAD, April 29: Foreign portfolio investment in Pakistan stood at Rs18.91 billion at the end of the period July-March 2002-03, denoting an increase of 55.24 per cent over June 30, 2002, according to the statistics available from the Securities and Exchange Commission of Pakistan (SECP).

On July 1, 2002, an analysis of the data provided by the State Bank to the SECP shows, the opening market value of shares/securities was Rs12.18 billion.

The SBP, an official of the SECP told Dawn here on Tuesday, had for the first time started sending the information about inflows and outflows of foreign portfolio investment at its request.

Previously unavailable to the general public, regular publication of these data, he said, would help in mitigating rumours and consequent speculative buying and selling in Pakistan’s stock market.

This policy has already contributed to increase in confidence in the viability of the stock market of Pakistan. Thus when over the past couple of months, the stock market witnessed a retreat of the bulls, the foreign portfolio investment continued to be steady.

Nevertheless, the uncertainty stemming from the situation around Iraq did have its impact when the market value of securities experienced the reverse gear in the fourth week of January 2003.

Thus having reached the peak at Rs19.85 billion on January 18, 2003, it suddenly lost Rs2.05 billion. And the market value of foreign portfolio investment plunged to Rs17.80 billion. This was still Rs5 billion above the level of the first fortnight of July 2002.

The downward trend continued till the second fortnight of February 2003. By the end of that period, it had fallen further to Rs16.66 billion. Since March 1, 2003, however, foreign portfolio investment has resumed its ascent. By March 15, 2003, it had gone up to Rs17.91 billion. The situation improved further and during the period March 17-29, 2003, the market value of securities climbed further to Rs18.91 billion.