In November 2023, the Foreign Direct Investment (FDI) in the country experienced a notable uptick, increasing by 12 percent year-on-year (YoY) to reach $131 million.
he State Bank of Pakistan (SBP) released data indicating that the net foreign direct investment for the first five months of the fiscal year 2024 (5MFY24) amounted to $656 million, reflecting an 8 percent YoY increase from the $607 million reported in the same period of the previous fiscal year (5MFY23).
Portfolio investment showed a positive trend with inflows of $38.4 million in 5MFY24, a significant turnaround from the $14 million outflows recorded in 5MFY23. Similarly, foreign public investment reported inflows of $0.2 million in 5MFY24, in contrast to the $17.4 million outflows in 5MFY23. Overall, the total foreign investment in 5MFY24 stood at $694.8 million, marking a notable 21 percent increase from the $575.5 million recorded in 5MFY23.
During November 2023, the country continued to attract foreign direct investment, totaling $156 million, a YoY increase of 32 percent from $118.1 million in November 2022. China emerged as the leading investor during the five-month period, contributing $232.7 million, followed by Hong Kong with $129.2 million and the United Kingdom with $88.1 million.
Analyzing the sectors, the power sector led in attracting investment, with a total of $334 million, including $131 million for coal-based projects and $173 million in hydel power. Following closely were the Oil & Gas Exploration sector with $79 million and the Financial Business sector with $71 million in investments.
