This news didn't really surprised me that Pakistan's stock market is world's best growing stock market but Brazil is down 11%, Russia is down 13%, China is down 26% and INDIA is down 40%. Usually, the world's situation affect us and our neighbor in similar manner but this time this formula didn't work well. I am not an economist but stock markets are one of the indicator about economy. Presently, confidence of a Pakistani is very low about current condition of Pakistan's economy and I think one of the reason is in following paragraph.
The following graph shows performance of Karachi Stock Exchange for last year(Apr 2007 - Feb 2008) and last five years (May 2003-Sep 2007)। We can observer that overall market is growing up and up by time BUT you can also observe the specific pattern of market (marked by red circles)। These patterns are because of market giants like AKD etc. Such down falls causes lost of huge amount invested by small investors and some times also force them to exit from market. I just want to point out that the market is growing up and up but most of the time it benefits market giant not every one. Thus, we can see the impact of such economy in our life in the result of high inflation rate BUT increasing of number of vehicle on roads too!
Image courtesy Pakistaniat.com