Pakistan's auto, agriculture, and equity markets surge in April 2026

Pakistan's automobile, agriculture, and equity markets posted strong growth in April 2026 despite persistent geopolitical tensions and mounting inflationary pressures, according to the latest economic data.

Passenger car sales more than doubled, while the benchmark KSE-100 Index gained 9.6% over the month.

Other sectors also showed broad-based growth in April 2026. Tractor sales rose 76.3%, and urea sales climbed 84.7%. However, the current account swung to a $324 million deficit and inflation accelerated to 11.1%.

The growth came despite a challenging macroeconomic backdrop. The State Bank of Pakistan raised its key policy rate, inflation accelerated, and the external account came under renewed pressure.

How fast did Pakistan's auto sector grow in April?

Passenger car sales surged 106.9% year-on-year in April. Tractor sales jumped 76.3%, both supported by a sharp rise in consumer financing.

Auto financing rose 36.6% from a year earlier to PKR 359.6 billion. The increase reflected sustained demand across the automotive sector.

The fertilizer sector recorded strong activity in April. Urea sales rose 84.7% year-on-year, despite an increase in prices during the month.

The State Bank of Pakistan raised its key policy rate by 100 basis points to 11.50% in response to accelerating inflationary pressures.

Average yields on six-month treasury bills in the secondary market stood at 11.5%. Consumer inflation accelerated to 11.1% year-on-year in April.

The pickup in inflation was driven mainly by higher domestic fuel prices and adjustments in energy tariffs.

Why did Pakistan's current account swing into deficit?

Pakistan's external sector came under pressure in April, according to a Topline Securities report. The current account posted a deficit of $324 million amid a higher import bill of $6.9 billion.

Net foreign direct investment inflows fell 69.5% year-on-year to $54.5 million. The drop was largely due to a $102 million outflow linked to the cement sector, involving investors from Lebanon.

How did the KSE-100 perform in April 2026?

The benchmark KSE-100 Index gained 9.6% month-on-month in April. The rally was supported by investor optimism over diplomatic talks between the United States and Iran aimed at easing regional tensions.

The index has delivered a one-year return of 46.4% as of April 2026. The performance reflects continued investor confidence in Pakistan's equity market.