Pakistan’s Karachi Stock Exchange will begin fund transaction from next month, after getting approval from the regulator today.
“The exchange will hold a mock session tomorrow and we will implement margin trading between March 1 and March 7, after a government notification is issued,” said acting managing director Haroon Askari in a phone interview today. “The government approved the rules today.”
The board of the Karachi Stock Exchange proposed the introduction of margin trading in a report to the commission in July, and met with the regulator on Aug. 31.
The practice was abolished when price curbs were imposed in 2008, following the index’s biggest slump in a decade.