Overseas investors repatriate $1.3 billion in 7MFY25
MG News | February 19, 2025 at 09:48 PM GMT+05:00
February 19, 2025 (MLN): Foreign investors ' repatriation of profit and dividends rose 89.76% YoY in 7MFY25 to $1.32 billion compared to $694.28m worth of repatriation in the same period last year, the latest data issued by the central bank revealed.
The data further revealed that during the period, foreign companies repatriated $1.25bn worth of profit against the foreign direct investments (FDI) in various businesses compared to $639.22m in SPLY, marking an increase of around 96.08% YoY in 6MFY25.
The outflow as payment against portfolio investment stood at $64.07m, compared with $55.06m in 6MFY25, witnessing a growth of 16.38% YoY from 6MFY24.
Meanwhile, in January 2025 alone, repatriation of profits and dividends by foreign firms stood at $102.9m.
Sector-wise:
Sectorial representation of the data shows that the major sectors that witnessed the highest repatriation include the Food, Power , Financial Business, Oil & Gas Explorations and Tobacco & Cigarettes sectors.
Among these, the Food sector repatriated the highest profits of $262.96m in 7MFY25 to overseas.
The data further revealed that profit outflows from the Power sector clocked in at $182.82m.
Profits outflow from the Financial Business sector increased significantly to $164.57m in 6MFY25.
The payments made on total foreign investment under the Oil & Gas Explorations and Tobacco & Cigarettes sector stood at $108.62m and $97.14m respectively during the review period.
Country-wise:
A country-wise break up of data on repatriation of profit released by SBP revealed that firms and individual investors in the United Kingdom dispatched the single largest profit of $434.03m during 7MFY25, compared to $91.04m repatriated in the same period prior fiscal year.
To note, in the month of January alone, payments to the United Kingdom stood at $36.04m.
The United States witnessed the repatriation of the second-highest profits as the country repatriated $165.77m abroad during 7MFY25, compared with $43.48m in 7MFY24.
Third in line was U.A.E which repatriated $144.89m from Pakistan, down as compared to the number during SPLY, when the country remitted $177.5m as profit income from Pakistan.
Next in line was China with a profit repatriation of $93.72m during the review period.
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Summary of Foreign Investment in Pakistan