Pakistani shares pay some of the highest dividends of any stock market in the world. Many large banks, oil producers and fertiliser companies currently yield 7% to 13% a year in cash, before any change in the share price.
But a high yield on its own is not a reason to buy. This guide shows the highest-yielding PSX stocks, the companies with the most reliable dividend records, and how to spot a yield that will not last. All prices are end-of-day on 1 October 2026. For the latest announcements, see our dividends page.
How we calculate dividend yield
Dividend yield = dividends paid per share over the last 12 months ÷ current share price.
For example, POL paid Rs 100 a share over the past year. At Rs 753.52, that is a yield of 13.3%. If you had bought Rs 100,000 of POL at that price, last year's dividends would have paid you about Rs 13,300 before tax.
Two things to remember:
- This is a trailing yield. It tells you what the company paid, not what it will pay. Dividends can be cut.
- We calculate yields ourselves from each company's dividend per share (DPS). The yield field on some data sites is unreliable; one shows PAKT at 0.05% when the real figure is over 10%.
Highest-yielding large PSX stocks
These are the highest trailing yields among the 70 largest companies on the PSX.
| Stock | Sector | Price (1 Oct) | Trailing DPS | Yield | 1-year price change | Note |
|---|---|---|---|---|---|---|
| NBP | Bank | Rs 164.19 | Rs 35 | 21.3% | −19.6% | One-off. See below |
| POL | Oil and gas exploration | Rs 753.52 | Rs 100 | 13.3% | +3.7% | |
| APL | Fuel marketing | Rs 575.74 | n/a | about 11.2% | +13.4% | Yield as of 30 Sep |
| INDU | Autos | Rs 1,791.23 | Rs 195 | 10.9% | −19.0% | Rate-sensitive sector |
| PAKT | Tobacco | Rs 1,396.25 | Rs 150 | 10.7% | −14.9% | Thinly traded |
| BAFL | Bank | Rs 56.47 | Rs 6 | 10.6% | +3.7% | |
| HMB | Bank | Rs 96.43 | n/a | about 10.3% | −17.6% | Yield as of 30 Sep |
| HUBC | Power | Rs 198.96 | Rs 20 | 10.1% | −15.3% | Shariah-compliant |
| BAHL | Bank | Rs 152.51 | Rs 15 | 9.8% | −24.4% | |
| ABL | Bank | Rs 170.04 | Rs 16 | 9.4% | −3.0% | |
| MCB | Bank | Rs 388.54 | Rs 36 | 9.3% | +8.9% | |
| SCBPL | Bank | Rs 60.03 | n/a | about 9.2% | −14.4% | Illiquid |
| BOP | Bank | Rs 30.12 | n/a | about 8.8% | +1.1% | Yield as of 30 Sep |
| BWCL | Cement | Rs 447.48 | n/a | about 8.2% | −31.6% | Illiquid |
"Illiquid" means few shares trade each day, so buying or selling can move the price against you.
Why NBP's 21% yield is misleading
NBP tops every yield screen, but it is a trap for anyone expecting the same again. The bank paid no dividend at all from 2017 to 2023. It restarted in 2024, and its 350% final dividend for 2025 was a one-off record (The News). The share price has fallen almost 20% over the past year. Treat its yield as a single good year, not a pattern.
The same logic applies more widely: a very high yield often means the market expects the dividend to fall, or the share price has dropped for a reason.
The most consistent dividend payers
For most long-term investors, reliability matters more than the headline number. These companies paid a dividend in every year of the last five, with no cut year, based on our review of PSX payout records.
| Stock | Sector | Price (1 Oct) | Trailing DPS | Yield | Shariah (KMI) |
|---|---|---|---|---|---|
| POL | Oil and gas exploration | Rs 753.52 | Rs 100 | 13.3% | |
| INDU | Autos | Rs 1,791.23 | Rs 195 | 10.9% | |
| PAKT | Tobacco | Rs 1,396.25 | Rs 150 | 10.7% | |
| BAHL | Bank | Rs 152.51 | Rs 15 | 9.8% | |
| ABL | Bank | Rs 170.04 | Rs 16 | 9.4% | |
| MCB | Bank | Rs 388.54 | Rs 36 | 9.3% | |
| HBL | Bank | Rs 303.78 | Rs 24 | 7.9% | |
| NESTLE | Food | Rs 7,108.39 | Rs 557 | 7.8% | Yes |
| EFERT | Fertiliser | Rs 194.31 | Rs 15 | 7.7% | Yes |
| UBL | Bank | Rs 417.66 | Rs 32 | 7.7% | |
| FFC | Fertiliser | Rs 538.46 | Rs 37 | 6.9% | Yes |
| UPFL | Food | Rs 25,499 | Rs 1,651 | 6.5% | Yes |
| MARI | Oil and gas exploration | Rs 628.35 | Rs 37.4 | 6.0% | Yes |
| COLG | Consumer goods | Rs 1,091.41 | Rs 64 | 5.9% | Yes |
| MEBL | Islamic bank | Rs 553.65 | Rs 32 | 5.8% | Yes |
| OGDC | Oil and gas exploration | Rs 313.39 | Rs 17 | 5.4% | Yes |
| PPL | Oil and gas exploration | Rs 221.36 | Rs 12 | 5.4% | Yes |
"Shariah (KMI)" means the stock is in the KMI-30 or KMI All Share index in our 1 October data. See our Shariah-compliant stocks guide for more.
A few observations:
- Banks dominate the high-yield list. With the policy rate at 11.5%, banks earn wide margins and pay much of it out. If rates fall, bank profits and dividends would likely ease.
- Oil producers are cash machines. OGDC, PPL, MARI and POL trade on low price-to-earnings ratios (about 5.6 to 8.7) and benefit when oil is high.
- Consumer names pay steadily but have lagged. NESTLE, PAKT, COLG and UPFL have reliable dividends but their share prices have barely moved over five years. Bonus-adjusted, NESTLE rose about 3.9% a year and PAKT about 3.6% a year.
Dividends plus growth: the best all-rounders
Yield is only half the return. Our screen of the largest stocks ranked steady dividend payers by estimated five-year total return (bonus-adjusted price growth plus current yield) per unit of risk. The top five, using 30 September data:
| Stock | Dividend yield | 5-year price growth a year | Estimated total return a year | Worst fall (5 years) |
|---|---|---|---|---|
| UBL | 7.6% | 48.2% | 55.8% | −39% |
| FFC | 6.8% | 39.8% | 46.6% | −30% |
| MEBL | 5.8% | 34.5% | 40.3% | −46% |
| OGDC | 5.4% | 30.7% | 36.1% | −31% |
| MARI | 5.9% | 29.7% | 35.6% | n/a |
These returns come from an exceptional five years in which the KSE-100 nearly quadrupled. Do not expect them to repeat. The total-return figure is an estimate that adds today's yield to past price growth.
Bonus shares: the serial issuers
Some companies have historically rewarded shareholders with bonus shares as well as cash. Since listing, the most frequent issuers in our records are:
| Stock | Number of bonus issues | Period |
|---|---|---|
| MEBL | 17 | 2003 to 2022 |
| BAHL | 17 | 1997 to 2014 |
| MTL | 17 | 2004 to 2023 |
| COLG | 16 | 1996 to 2023 |
| PSO | 13 | 1995 to 2019 |
| NBP | 11 | 2003 to 2013 |
| ATRL | 10 | 1996 to 2018 |
| PPL, FFC, BAFL | 9 each | various |
Counts are from our research and partly unverified; check a company's annual report before relying on them.
Bonus issues have largely stopped since a 2023 tax change that withholds 10% of bonus shares. Companies now tend to split their shares instead (for example LUCK 5-for-1 in 2025 and UBL 2-for-1 in 2025). A bonus or a split does not by itself make you richer: you own more shares, but each is worth proportionally less.
Book closure vs ex-dividend date
This is where many new investors lose out.
- Announcement: the board declares a dividend, usually with results, as a percentage of face value. Most PSX shares have a Rs 10 face value, so "100% cash" means Rs 10 a share.
- Ex-dividend date: from this day, buyers do not get the dividend. On the PSX the symbol shows an "XD" suffix (for example "LUCK XD"). The price usually drops by about the dividend amount.
- Book closure: the period when the company closes its share register to confirm who gets paid. Because PSX trades settle after the trade date, the ex-date falls shortly before book closure starts.
- Payment: the cash arrives in your bank account, after tax, usually within a few weeks.
Rule of thumb: to receive a dividend, buy before the stock goes XD. Check the exact dates on the PSX company announcement. Upcoming book closures are on our dividends page.
Buying just before the ex-date only to collect the dividend rarely works. The price falls by about the dividend on the ex-date and you pay tax on the payout.
Tax on dividends in Pakistan
Dividends are taxed at source: the company deducts withholding tax before paying you.
- The standard rate for active taxpayers (filers on FBR's Active Taxpayer List) has been 15% for most companies.
- Non-filers pay a higher rate, broadly double.
- Some categories, such as certain power-sector companies or mutual funds, have different rates.
Rates change with each Finance Act, so check the current rates on fbr.gov.pk before you invest. The practical lesson is simple: become a filer. On a Rs 10,000 dividend, the difference between filer and non-filer rates can be Rs 1,500 or more.
Risks to dividend investing
- Dividend cuts. Profits fall, and so do payouts. Banks would earn less if interest rates are cut; autos and cement depend on demand.
- Circular debt. Oil, gas and power companies are owed large sums by state entities. That can squeeze the cash available for dividends, even when profits look healthy.
- Price falls cancel out yield. A 10% yield is little comfort if the share drops 25%. Several high-yield names above are down 15% to 25% over the past year.
- Concentration. Banks and oil producers make up most of the high-yield list. Spread across sectors.
- Liquidity. Stocks like SCBPL, BWCL and PAKT trade in small volumes, so it can be hard to buy or sell without moving the price.
How to start
- Open an account with a well-rated broker. See our broker rankings.
- Read our getting started guide.
- Build a shortlist from the steady-payer table, spread across banks, oil and gas, fertiliser and consumer stocks.
- Track dates and announcements on the dividends page, and current market conditions on the market page.
Not financial advice. Yields are trailing and based on past payments; future dividends may be lower or zero. Do your own research or consult a licensed adviser.
Sources
- PSX data portal (dps.psx.com.pk): prices (1 Oct 2026), screener and company payouts
- StockAnalysis: PSX dividend histories (DPS figures; one page per symbol)
- The News: NBP resumes dividend after seven years
- Millat Tractors dividend history
- Business Recorder: MARI bonus issue
- Investing.com: split histories
- Federal Board of Revenue (withholding tax rates)