Net foreign investment in Pakistan showed phenomenal growth in the three quarters of the 2019-20 financial year, with the growth of 380 percent year-on-year.
According to data from the State Bank of Pakistan, the total foreign investment for the period from July to March is $2.37 billion, compared to $494 million for the same period last year.
Real-sector Foreign Direct Investment (FDI) stands at $2.14 billion, up 137 percent from last year’s $905 million. Likewise, by the end of March of the current financial year, Foreign Portfolio (FPI) inflows into debt securities and stock exchange stood at $331 million.
In March, FDI reported a $278 million raise while FPI registered a massive $1.83 billion outflow from government papers and the stock market.
China’s FDI inflows were the largest at $872 million and Norway followed with $288 million. UK and US FDI stood at $64.9 million and $90 million respectively, with both countries having a huge debt-securities outflow in the past month.
The power sector attracted an investment of over $750 million followed by a $464 million dollar investment from the telecom industry. Economic affairs FDI landed at $210 million and electrical equipment at $143 million.
In the current financial year, however, the influx situation has been remarkable so far, however, the global economic outlook is uncertain in 2020 due to the COVID-19 pandemic and its effects on business and investment environment worldwide.