Foreign Direct Investment (FDI) surged to more than $ 2 billion in the eleven months of current financial year 2016-17.
According to statistics released by State Bank of Pakistan (SBP), the FDI increased to $2.02 billion during the period of July to May in the financial year 2016-17 as against of $1.65 billion FDI reported in the corresponding period of last financial year, showing a growth of 22.6% on year-on-year basis.
FDI From Different Sectors
Power Sector is the leading sector which witnessed net inflows of $548 million during the 11 months of financial year 2016-17. It recorded inflows of $125 million in May alone, which resulted in the power sector as the top contributor to FDI inflows.
FDI flows to other sectors are as follows:
- Food Sector with $476 million,
- Construction with $418 million,
- Electronics with $148 million,
- Oil and Gas Exploration Sector with $135 million.
FDI From Different Countries
China is the leading country investing in Pakistan with net inflows from our biggest neighbor crossing $878 million by the end of May, 2017. It is followed by Netherlands as the top investor in the current financial year with $465 million FDI, according to data released by the State Bank of Pakistan (SBP).
France, Turkey and USA were among the other leading investors, with inflows standing at $180 million, $134 million and $54 million.
These are the countries which recorded a net outflow of investment during the current fiscal year: Bahrain with $13.2 million, Norway with $12.6 million and Qatar with $5.7 million.
Net FDI in Pakistan Grows 110%
The net FDI (including foreign private/public investment) stood at $2.64 billion during July to May of FY17 as compared to the previous financial year in which it stood at $1.25 billion, showing a staggering growth of 110.8%.
On the other hand, the Foreign Public Investment witnessed staggering growth to stand at $1.027 billion through investment in Equity Securities and Debt Securities. Besides, the portfolio investment showed an outflow of $411 million.