According to a research report by AHL Research, three additional cement companies in Pakistan are expected to be included in the MSCI Frontier Markets (FM) Index. This addition is projected to increase Pakistan’s overall weight in the index by approximately seven per cent.
The upcoming MSCI review, scheduled for 11 February 2025, may significantly change Pakistan’s representation in the FM Index. Based on the latest criteria outlined in the August 2024 MSCI report, companies with an ordinary share market capitalisation of at least US$168m and a free-float market capitalisation of at least US$69m will qualify for inclusion in the MSCI Frontier Markets Index.
These changes are set to take effect on 3 March 2025. The research house anticipates that the following six stocks will be added to the MSCI FM Index:
1. Cherat Cement Co Ltd (CHCC)
2. Attock Refinery Litd (ATRL)
3. DG Khan Cement Co Ltd (DGKC)
4. The Searle Co Ltd (SEARL)
5. Pioneer Cement Ltd (PIOC)
6. Air Link Communication Ltd (AIRLINK)
As a result, analysts expect Pakistan’s weight in the MSCI FM Index to rise from 4.4 per cent to approximately 6.9 per cent.
by Abdul Rab Siddiqi, Pakistan
