Pakistan received $120 million in net foreign direct investment (FDI) from China during July-August of the current fiscal year. This accounted for 32.9 percent of the country’s total FDI inflows of $364.3 million, according to the latest report from the State Bank of Pakistan.
In August alone, China contributed $68.6 million out of Pakistan’s $156.2 million net FDI, representing 43.9 percent of the monthly inflows. Other countries collectively invested $244.3 million in July-August, with $87.6 million recorded in August.
Sector-wise, the power sector remained the largest recipient of foreign investment, drawing $156.9 million in the first two months. The financial business sector followed with $110.2 million. Other sectors attracting investment included electrical machinery at $25.8 million and electronics at $1.7 million.
Among other partner countries, the United Kingdom invested $31.8 million, the United Arab Emirates $32.9 million, Switzerland $37.8 million, and the United States $7.1 million. Additionally, Pakistan attracted $26.8 million in net FDI from China’s Hong Kong in August.
Analysts said the strong inflow of FDI from China highlights growing confidence in Pakistan’s investment environment. The funds are expected to support key infrastructure projects, enhance energy production, and contribute to the country’s economic stability.
The State Bank of Pakistan’s report indicates that attracting consistent FDI remains critical for financing development projects and boosting investor confidence. China’s significant contribution underscores its role as a key partner in Pakistan’s economic growth.
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