Pakistan's FDI declines 27 percent in Jul-Jan FY21

Foreign Direct Investment (FDI) declined by 27.4 percent during the period July-Jan 2021 of the fiscal year. According to the State Bank of Pakistan (SBP) latest data, Pakistan fetched FDI amounting to $1,145.3m in July-Jan of FY21 compared to $1,577m in the same period of the last fiscal year (FY20), depicting a decline of $431.7m.

The SBP's statistics revealed that FDI fell significantly by 12.27pc or $27m to $192.7m in Jan 2021 compared to net inflow of $ 219.6m investment in Jan 2020. The major chunk of the recent foreign investment was contributed by China, which is remained the largest investor with over 35p share in overall FDI. China's net FDI stood $402.8m during Jul- Jan 2021 of this fiscal.

Netherlands is the second largest investing country with net FDI of $122m and HK ranked third with an investment of $105.2m into Pakistan during July-Jan of FY21. Major investment was poured in Power sector amounted to $450.4m followed by financial business sector $181.3m and Oil & Gas Explorations Sector $136.7m. Total foreign investment in Pakistan, comprising foreign direct investment, portfolio investment and foreign public investment, declined 78pc or $2,683.2m to $755m in the period Jul-Jan 2021.