October 18, 2020 (MLN): China emerged as the largest direct foreign investor in Pakistan during September 2020, with a net direct investment of $97 million, followed by the Hongkong and Malta who invested $22.8 million and $18.5 million respectively, according to SBP data issued.
Cumulatively, during July-September FY21, China, Malta and Netherland appeared as the top three investors in Pakistan with net FDI of $103.6 million, $55.6 million and $49.1 million respectively.
The FDI from China was 87% higher in July- September FY21, compared to the inflows of $55.4 million in the same period of FY20. While the inflows from Malta did not witness any change when compared to the inflows during Jul-Sep FY20.
On the other hand, investors from the UAE showed a largest disinvestment of $21.6 million during 3MFY21 which was 26% higher than the disinvestment observed in the corresponding period of last year.
Other important investors were the Hongkong, Norway and UK with a net FDI of $38.4 million, $29.2 million and $27.9 million respectively. The Inflows from Hongkong surged by 457% compared to Jul-Aug FY20 while the inflows from Norway recorded a decline of 88% in 3MFY21. The inflows from UK depict no change compared to same period last year.
Moreover, Foreign Portfolio Investment (FPI), which represents an investment in the equity market shown a negative picture, as net FPI outflows during the period under review stood at $26.8 million compared to the inflows of $344 million recorded in the same period last year. The UK emerged as the biggest withdrawal of portfolio investment during the period, as it withdrew $85.3 million during 3MFY21, followed by the US with $68.9 million.
Meanwhile, UAE appeared as the largest contributor in portfolio investment with $52.1 million.
Copyright Mettis Link News