ISLAMABAD
\nChina remained Pakistan\u2019s largest source of foreign direct investment (FDI) during the first half of the current fiscal year, Gwadar Pro reported on Tuesday quoting data released by the State Bank of Pakistan (SBP).Net FDI from China reached $422.9 million during July\u2013December FY2026, accounting for more than half of Pakistan\u2019s total net FDI of $808.1 million for the six-month period.
\nGross inflows from China stood at $583.4 million, while outflows totaled $160.5 million, leaving Beijing significantly ahead of all other partner countries. Overall, Pakistan received $1.81 billion in FDI gross inflows from all partners during the period, against outflows of $1.01 billion.
\nThe resulting net FDI of $808.1 million represents a 43.2% decline compared to the $1.42 billion recorded during the same period in FY2025. The country also recorded substantial negative portfolio investment flows of $600.6 million. When combined with FDI, the total foreign investment for the period stood at $207.4 million.
\nThe monthly performance for December was particularly strained; while China invested a net $114.1 million, massive outflows in other sectors pushed Pakistan\u2019s overall monthly net FDI into negative territory at -$134.7 million. This was a sharp reversal from the $182.4 million in net inflows recorded in December 2024.
\nHong Kong SAR, a major vehicle for Chinese outbound investment, emerged as a notable contributor with a net investment of $163.8 million during July\u2013December FY2026. Other significant investors included the United Arab Emirates ($112.2 million) and Switzerland ($106.8 million).
\nIn contrast, net inflows from the United Kingdom and the United States remained modest, while several advanced economies recorded net outflows.By sector, \u201celectricity, gas, steam and air conditioning supply\u201d and \u201cfinancial and insurance activities\u201d attracted the largest shares of investment, reflecting a continued concentration of capital in Pakistan\u2019s energy and services sectors.<\/p>\n","protected":false},"excerpt":{"rendered":"
ISLAMABAD China remained Pakistan\u2019s largest source of foreign direct investment (FDI) during the first half of the current fiscal year, Gwadar Pro reported on Tuesday quoting data released by the State Bank of Pakistan (SBP).Net FDI from China reached $422.9 million during July\u2013December FY2026, accounting for more than half of Pakistan\u2019s total net FDI of […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":{"0":"post-526815","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-business"},"yoast_head":"\n