Pakistan warns of severe cyclone near Karachi amid forecast of more rains in Punjab

Pakistan warns of severe cyclone near Karachi amid forecast of more rains in Punjab
People wade through a flooded street after heavy rainfall in Karachi on August 19, 2025. (AFP/File)
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Updated 04 October 2025
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Pakistan warns of severe cyclone near Karachi amid forecast of more rains in Punjab

Pakistan warns of severe cyclone near Karachi amid forecast of more rains in Punjab
  • Winds and thunderstorms with moderate rain triggered by Cyclone SHAKHTI expected in Sindh, Balochistan
  • Punjab’s top disaster management official Irfan Kathia says rainfall will lash the province again from Oct. 5-7

KARACHI: A cyclonic storm over the Arabian Sea has intensified into a severe system located about 390 kilometers south-southwest of Karachi, the Pakistan Meteorological Department (PMD) said on Saturday, while also forecasting more rain in eastern Punjab from Oct. 5 to 7 as the province continues to grapple with flood damage.

At least 1,037 people have died in Pakistan due to heavy rains, floods and landslides during the annual monsoon season between Jun. 26 and Oct. 1, according to the National Disaster Management Authority (NDMA).

More than 3.6 million people were affected across 3,363 villages, with nearly 1.3 million moved to safer areas and hundreds of relief camps established in inundated districts of Punjab, the country’s agricultural heartland.

The floods largely spared southern Sindh, unlike three years ago when Pakistan lost over 1,700 lives and the province was the worst hit. However, winds and thunderstorms accompanied by light to moderate rain triggered by Cyclone SHAKHTI are expected to affect

Karachi, Badin, Thatta, Sujawal, Jamshoro, Hub, Lasbela, Awaran and Kech districts in Sindh and Balochistan.

“Sea conditions are likely to remain rough to very rough with squally winds of 40-50 gusting 55 km/hour near the Sindh coast,” the PMD said in a statement. “Fishermen are advised not to venture into deep sea till Oct. 5.”

The cyclone is expected to move west-southwest, reaching the northwestern and adjoining central parts of the Arabian Sea by Oct. 5, before changing direction and weakening over the next 24 hours.

The PMD said winds could blow at 90 to 100 kilometers per hour, strengthening to around 110 km/h, with gusts as high as 125 km/h in the following 36 hours.

It said winds would weaken later, but the sea would remain rough to very high over the north-central Arabian Sea.

RAIN IN PUNJAB

Meanwhile, Punjab Provincial Disaster Management Authority (PDMA) Director General Irfan Ali Kathia said rains are expected to return to the province on Oct. 5 and continue in the northern regions of Pakistan until Oct. 7.

He said the intensity of rainfall may increase on Oct. 6-7, with 50 to 70 millimeters expected in several districts of Punjab, adding that heavy rains could raise river flows to between 100,000 and 150,000 cusecs.

Punjab has been reeling from weeks of flooding that inundated farmland, destroyed crops, displaced thousands and disrupted transport and irrigation networks, leaving many rural communities struggling to recover.

Pakistan remains among the countries most vulnerable to climate change, with scientists warning that rising temperatures are making South Asian monsoon rains heavier and more erratic.

Seasonal downpours provide up to 80 percent of the country’s annual rainfall but frequently cause widespread destruction.

The catastrophic 2022 floods submerged one-third of Pakistan, displaced 30 million people and caused economic losses exceeding $35 billion. 


Shariah-compliant stocks outperform broader market amid rising investor demand at PSX

Shariah-compliant stocks outperform broader market amid rising investor demand at PSX
Updated 15 November 2025
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Shariah-compliant stocks outperform broader market amid rising investor demand at PSX

Shariah-compliant stocks outperform broader market amid rising investor demand at PSX
  • Islamic equities now make up more than half of daily trading value on the Pakistan Stock Exchange
  • Analysts say macro stability and policy reforms fueling stronger gains in Shariah-compliant counters

KARACHI: As Pakistan’s economy steadies, stock investors are increasingly gravitating toward Shariah-compliant equities, with Pakistan Stock Exchange (PSX) data showing these counters outperforming conventional stocks since early October and now accounting for more than half of the daily trading value.

Investors on Friday traded Rs35 billion ($125 million) worth of shares, of which Rs23 billion ($80 million) came from Shariah-compliant counters.

“Around 65 percent of today’s equity value traded was in Shariah compliant stocks,” PSX said in a statement.

Pakistan’s market has been on a strong upward run, with the benchmark KSE-100 Index climbing 41 percent to 161,935 points since January.

The Karachi Meezan Index (KMI-30), launched in 2008 to track Shariah-compliant equities, has risen 30 percent so far this year and gained another 0.8 percent on Friday to close at 231,590 points.

“The broader Pakistan Shariah index has demonstrated remarkable strength and resilience, closely mirroring the sustained bullish momentum observed across the PSX,” said Amreen Soorani, head of research at Al Meezan Investments Management Limited, Pakistan’s largest Shariah-compliant mutual fund managing Rs638 billion ($2.3 billion) in assets.

“This exceptional performance is a direct result of recent macroeconomic stabilization and impactful policy reforms,” she told Arab News.

Pakistan’s economic outlook has brightened as the current administration has pulled inflation down to 6.2 percent in October, while the central bank expects the current account deficit to widen by up to one percent this fiscal year.
Foreign exchange reserves are projected to reach $18 billion by June 2026.

“We maintain an optimistic outlook for the Shariah equity index, projecting sustained growth driven by robust corporate profitability and attractive dividend yields, all underpinned by strong structural and macroeconomic tailwinds,” Soorani added.

She said regulatory steps, including the listing of government sukuk on the stock exchange, were also “actively diversifying investment offerings and enhancing market liquidity in the Shariah space.”

INCREASING EXPOSURE

These trends are drawing in individual investors such as Saniya Bilal Doni, who is already invested in Shariah-compliant stocks and now plans to boost her holdings.

“My portfolio has benefited from the recent PSX rally, and I am considering increasing my exposure given the positive market outlook,” said Doni, 33, a Chartered Financial Analyst by qualification.

For her, she said, the appeal of these stocks extends beyond performance.

“The Shariah-compliant stocks align with my ethical and faith-based principles, and historically, Shariah-compliant companies in Pakistan tend to have stronger balance sheets, lower leverage and more disciplined governance, which naturally reduces risk,” she continued.

Doni did not disclose the size of her portfolio but said she prefers long-term, dividend-focused investments in “well performing” banking, real estate, fertilizer and technology stocks.

“In Pakistan, many retail and institutional investors already gravitate toward Shariah-compliant names,” said Leena Abid, an analyst at Karachi-based brokerage Arif Habib Limited.

She noted that the KMI-30 Index posted a 71 percent return last year and has already delivered 29 percent gains this year.

“Looking ahead, if the current momentum continues, supported by improving macros and earnings growth, the KMI-30 could end another year with gains,” she told Arab News.