KARACHI: The Pakistan Stock Exchange (PSX) has launched a public consultation on its proposed PSX Sustainability Index (PSI), a benchmark aimed at measuring the performance of listed companies based on financially material environmental, social and governance (ESG) factors.
According to a statement issued on Monday, the exchange has released a concept paper outlining the proposed index, which is intended to identify listed companies that incorporate material environmental, social and governance risks and opportunities into their business models.
The proposed PSI has been designed as a total-return performance benchmark and will use a materiality-adjusted scoring methodology across environmental, social and governance pillars.
PSX Chief Executive Officer Farrukh H Sabzwari said environmental, social and governance considerations are becoming increasingly important in capital markets and investment decisions.
PSX said the public consultation is aimed at obtaining feedback from stakeholders to ensure that the proposed framework reflects Pakistan’s corporate environment, takes into account the current level of sustainability disclosures and provides a practical pathway for improvement across sectors.
Copyright Business Recorder, 2026