Pakistan’s net Foreign Direct Investment (FDI) fell sharply by 68 percent month-on-month, declining to just $54 million in April 2026, according to data based on the State Bank of Pakistan and reported by Topline Research.
The figure compares with $168 million in March, with analysts attributing the decline largely to significant outflows linked to the cement sector, particularly from Lebanon-based investments.
The latest drop highlights continued volatility in Pakistan’s external investment inflows, despite ongoing efforts under IMF-backed economic stabilization programs.
During the first ten months of FY2026, net FDI stood at $1.409 billion, reflecting a 31 percent year-on-year declinecompared to the same period last year.
China, Hong Kong, and the United Arab Emirates remained among the top sources of foreign investment in April, while inflows were concentrated in the power and financial sectors.
Analysts note that Pakistan’s investment climate has remained unstable in recent years due to political uncertainty, external financing pressures, currency volatility, and global economic conditions.
Despite this, the government continues to pursue foreign investment through privatization plans, Special Investment Facilitation Council initiatives, and IMF-supported structural reforms aimed at improving investor confidence.
Topline Research projects that Pakistan’s total FDI for FY2026 may reach around $2 billion, subject to stabilization in macroeconomic conditions and policy continuity.
