China leads FDI in Pakistan with net inflow of $23m in March

April, 17 2025 (MLN): China emerged as the largest investor in Pakistan in March 2025, with a net direct investment of $22.74m, followed by the United Kingdom and Switzerland which invested $19.26m and $15.74m respectively, according to the data issued by the State Bank of Pakistan (SBP).

During 9MFY25, China remained the largest investor, followed by the United Kingdom and the Hongkong with net FDI of $684.52m, $186.27m, and $175.89,m respectively.

It is pertinent to note that the total FDI in 9MFY25 stood at $1.64bn, up 14% YoY compared to FDI of $1.44bn in 9MFY24.

China held the majority proportion (41.63%) of direct investments in the country during 9MFY25, and investment from the respective country has increased substantially by 107.23% YoY when compared with the figure of $330.32m in 9MFY24.

United Kingdom’s contribution in net FDI stood at $186.27m (11.33%) in the 9MFY25, up by 4.08% YoY compared to $178.97m in SPLY.

The third major investor during 9MFY25, Hongkong’s share was 10.7% with a direct investment of $175.89m, growing by 14.34% YoY.

Other major important investors were the Switzerland, Others and U.A.E with a net FDI of $146.89m, $114.98m, and $88.46m respectively during 9MFY25.

The Foreign Portfolio Investment (FPI), which represents an investment in the equity market (both direct and indirect) during March stood at negative $131.4m.

On a cumulative basis, FPI showed a divestment of $342.35m during 9MFY25, against an investment of $164.95m in the SPLY.

The United States emerged as the biggest portfolio investor during the month, as it invested $4.12m during the month and $112m during 9MFY25.

The total foreign investment in the review month clocked in at $105.65m.

On a cumulative basis, within 9MFY25, total foreign investment was reported at $1.3bn as compared to foreign investment of $1.61bn incurred in the corresponding period last year.

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