Pakistan Records $208m in FDI for July 2025

August 20, 2025

Pakistan attracted Foreign Direct Investment (FDI) worth $208.09 million in July 2025, reflecting a slight increase compared to $194.7 million recorded in the same month last year (SPLY), according to the latest data released by the State Bank of Pakistan (SBP).

On a month-on-month (MoM) basis, however, the inflows marked a decline, as the country had reported a stronger $385 million FDI in June 2025.

Breakdown of Direct Investments

• Inflow: $317.11 million (↑ 11.29% YoY)
• Outflow: $109.02 million (↑ 20.82% YoY)

The figures indicate that while Pakistan is successfully attracting new investments, repatriation of profits and capital outflows have also risen compared to last year.

Portfolio Investment Trends

Under the portfolio investment category of FDI, the country recorded an outflow of $33.79 million through equity securities in July 2025. This contrasts sharply with an inflow of $23.64 million seen in July 2024, highlighting a reversal in foreign investor sentiment toward local equity markets.

Foreign Private vs. Public Investment

• Foreign Private Investment: Positive $174.3 million (vs. $218.34 million in July 2024)
• Foreign Public Investment: Outflow of $10.78 million via equity securities

The decline in foreign private investment reflects cautious investor sentiment amid global market volatility, while foreign public investment remained negative for the month.

Taking both direct and portfolio flows into account, Pakistan’s total foreign investment stood at $163.52 million in July 2025, significantly lower than the $363.39 million recorded in July 2024.

The July figures highlight a mixed trend: while Pakistan managed to attract higher direct investment inflows, the rise in outflows and reversal in portfolio investments weighed on the overall foreign investment tally. Going forward, consistent macroeconomic reforms, policy continuity, and investor-friendly measures will be crucial in sustaining and boosting FDI inflows.