ISLAMABAD – As 2025 draws to close, this was a year that reshaped Pakistan’s investment story. Gold glittered like never before, stocks defied expectations with record gains, and long-trusted assets such as property delivered steadier but smaller returns.
As we steps into 2026, investors are left reflecting on an extraordinary year, one that will be remembered for its surprises, its winners, and the lessons it leaves behind. Stock market staged historic rally, and long-trusted assets such as real estate and the US dollar lagged behind. While inflation and economic pressure squeezed large sections of the population, investors positioned in precious metals and equities witnessed extraordinary gains, turning 2025 into a defining year for asset performance in South Asian nation.
Bullion emerged as undisputed star of the year. For first time in Pakistan’s history, the price of 10 grams of gold crossed the Rs4Lac mark. At the start the year, the same quantity was priced at around Rs 233,000, but by December 24 it had surged to Rs405,000, showing staggering 73 percent increase within a single year.
Globally, rally was not limited to domestic market. Gold prices climbed from $2,612 per ounce on December 31, 2024, to $4,503 per ounce by December 26, 2025, representing an increase of more than 68 percent, largest annual rise since 1979.
Alongside gold, Pakistan’s stock market delivered exceptional returns in 2025. The benchmark KSE-100 Index stood near 114,000 points at the start of January but climbed to around 174,000 points by the close of trading on December 29, marking a rise of more than 60,000 points during the year.
According to Topline Securities, this translated into an annual gain of approximately 48 percent, making equities the second-best-performing asset class of the year after gold. The rally reflected improved investor sentiment, expectations of economic stabilization, and renewed interest from both local and institutional investors.
Real estate failed to match the explosive gains seen in financial markets. Traditionally considered a safe and preferred investment in Pakistan, property prices recorded more modest growth in 2025. Commercial plot prices increased by around 15-18 percent, while residential plots rose by around 12-15%.
Investors in Naya Pakistan Certificates earned returns of up to 22 percent at the beginning of the year, while Pakistan Investment Bonds delivered around 14 percent. Treasury Bills yielded approximately 12 percent, and bank savings accounts provided returns of up to nine percent, offering security rather than extraordinary growth.
Currency and cryptocurrency markets painted a mixed picture. During 2025, the US dollar appreciated by three to four percent against the Pakistani rupee, delivering modest gains to dollar holders. In contrast, Bitcoin disappointed investors, recording a decline of around four percent over the year, underperforming traditional asset classes amid volatility and regulatory uncertainty.
Another major brokerage firm, Arif Habib Limited, echoed similar findings in its report titled “Pakistan Strategy 2026.” The firm estimated that gold prices in Pakistan rose by up to 60 percent during 2025, while the KSE-100 Index gained 48 percent. The report also highlighted a remarkable surge in silver prices, which climbed by nearly 140 percent during the year, outperforming all other assets. Meanwhile, investors in Treasury Bills earned an average return of around 10.5 percent.
Beyond gold and stocks, other precious metals also recorded historic gains. Silver prices surged to $69.44 per ounce, reflecting an annual increase of roughly 138 percent, driven by both investment demand and industrial usage. Platinum reached its highest level in 17 years due to supply constraints and strong industrial demand, further underscoring the broader commodities boom of 2025.
Central banks around the world have been aggressively increasing their gold reserves to hedge against potential economic crises, reduce dependence on the US dollar, and diversify their portfolios. This trend, they believe, is likely to continue into 2026.
Experts caution that extraordinary returns witnessed in 2025 may not be repeated next year. Arif Habib Limited’s outlook suggests that while gold, silver and stocks may continue to perform well in 2026, investors should temper expectations, as gains are unlikely to match the exceptional levels achieved in 2025.
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