FDI falls 20% in July FY27

August 18, 2026 (MLN): Foreign Direct Investment (FDI) into Pakistan recorded a net inflow of $178.6 million in July FY27, marking a 20.1% year-on-year (YoY) decline compared to $223.5 million reported in July FY26, according to official data released by the State Bank of Pakistan (SBP).

Gross FDI inflows dropped by 8.8% YoY to $304.0 million in July FY27 from $333.5 million recorded in the same period last year.

Meanwhile, capital outflows rose by 13.9% YoY to $125.4 million, up from $110.1 million in July FY26.

Despite the drop in direct investments, total foreign private investment saw a modest growth of 3.8% YoY to reach $197.0 million in July FY27 (compared to $189.7 million in July FY26), bolstered by a sharp turnaround in portfolio investment.

Portfolio equity securities recorded a positive inflow of $18.4 million, rebounding by 154.4% YoY from a net outflow of $33.8 million in July FY26.

Foreign public investment also recovered by 169.4% YoY, recording a net inflow of $7.5 million in July FY27 against a net outflow of $10.8 million in July FY26.

Driven by recoveries in portfolio and public investments, total foreign investment in Pakistan expanded by 14.3% YoY to $204.5 million in July FY27, up from $178.9 million during the corresponding month of FY26.

On a full-year basis, net FDI for FY26 stood at $1,672.3 million, down 32.5% compared to $2,477.3 million in FY25 and $2,347.4 million in FY24.

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