China Leads Foreign Direct Investment in Pakistan with $28 Million in February

ISLAMABAD – China has emerged as the top contributor to Pakistan’s Foreign Direct Investment (FDI) in February 2025, with a net inflow of $28.17 million. Following China, the United Kingdom and Switzerland invested $18.81 million and $15.41 million, respectively, according to the State Bank of Pakistan (SBP).

During the first eight months of FY25, China remained the largest investor with an impressive $661.78 million, accounting for 40.89% of total FDI. This marked a 284.88% year-on-year increase compared to $171.94 million during the same period in FY24. The United Kingdom contributed $167.01 million, while Hong Kong secured third place with $160.37 million in investments, showing a 17.43% YoY growth.

Other notable contributors included Switzerland, France, and other nations, bringing the total FDI to $1.62 billion for the 8MFY25 period, a 41.02% YoY increase compared to $1.15 billion in FY24. However, the Foreign Portfolio Investment (FPI) reflected an outflow of $33.96 million in February and an overall divestment of $210.95 million in 8MFY25.

This surge in FDI underscores the growing confidence of global investors in Pakistan’s economy, driven largely by strategic partnerships and favorable investment opportunities.