Pakistan’s net Foreign Direct Investment fell sharply to just $54 million in April 2026, down 68 percent compared to $168 million in March, mainly due to large outflows linked to Lebanon in the cement sector, according to Topline Research, based on State Bank of Pakistan data.
The latest reading marks one of the weakest monthly FDI inflows in recent months and highlights ongoing pressure on Pakistan’s external investment environment despite ongoing IMF-backed economic stabilization efforts.
According to the data, net FDI during the first 10 months of FY2026 stood at $1.409 billion, reflecting a 31 percent year-on-year decline compared to the same period last year.
China, Hong Kong, and the United Arab Emirates remained the largest contributors to foreign investment during April, while the power sector and financial businesses attracted the highest inflows during the month.
The data shows foreign investment flows have remained volatile over the past three years, with Pakistan recording sharp fluctuations in monthly inflows amid political uncertainty, external financing pressures, currency instability, and changing global investment conditions.
Pakistan has been attempting to attract fresh foreign investment through privatization plans, Special Investment Facilitation Council initiatives, Gulf investment agreements, and IMF backed structural reforms aimed at improving macroeconomic stability and investor confidence.
Topline Research expects Pakistan’s total FDI for FY2026 to reach around $2 billion.
Long overdue. When people suffer from everything . Why should they