KARACHI: Global investment index provider MSCI has removed MCB Bank from its main Frontier Market Index and added it to the MSCI Frontier Market Small-Cap Index.

According to a report by Topline Securities on Monday, the semi-annual review announcement on Nov 10 showed Pakistan has now only two constituents left in the MSCI Frontier Market Index, namely Lucky Cement Ltd and Oil and Gas Development Company Ltd.

MSCI did not notify Pakistan’s weight in the index, but the brokerage estimated it to be 0.7 per cent. The changes to the MSCI Frontier Market Index will be effective from Nov 30.

As per the benchmark provider’s market classification framework, size and liquidity requirements for the constituents of the Frontier Market Index include full-cap market size of $1 billion, free-float market capitalisation of $91 million, and 2.5pc of annualised traded value ratio.

Pakistan was reclassified into the MSCI Frontier Market from the Emerging Market in November 2021.

Published in Dawn, November 15th, 2022