Pakistan records FDI of $214m in May

June 17, 2026 (MLN): Pakistan recorded a net foreign direct investment (FDI) inflow of $214m in May 2026, down 7.8% from $232m in the same month last year, according to data released by the State Bank of Pakistan.

During the month, gross FDI inflows stood at $295.1m against outflows of $80.8m, resulting in a net inflow of $214.3m.

On a portfolio basis, foreign portfolio investment (FPI) recorded a net outflow of $16.5m, bringing total foreign private investment to $197.8m. Foreign public investment contributed an additional $248.2m, lifting overall foreign investment to $445.9m in May.

China and the UAE led direct investment inflows during the month, contributing $79.3m and $50.5m, respectively. Hong Kong added $27.1m, Switzerland $17.4m, and the United Kingdom $14.8m.

On a sectoral basis, the power sector attracted the highest inflows at $85.8m, driven mainly by hydel ($36.3m) and coal ($43.6m) projects. Financial business followed with $59.6m, while the transport sector received $34.4m. Electrical machinery and petroleum refining recorded net inflows of $12.5m and $6.3m, respectively.

On a cumulative basis, FDI during July–May FY26 stood at $1,624m, down 28.3% from $2,267m in the corresponding period of FY25, indicating a moderation in direct investment momentum.

Meanwhile, cumulative FPI recorded a net outflow of $1,145.6m during 11MFY26, compared with an outflow of $312.3m a year earlier, reducing total foreign investment to $477.6m from $1,562.3m in the same period of FY25.

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