KARACHI: Pakistan’s net foreign direct investment (FDI) grew in January this year as it more than doubled to $222.6 million against $110m in the corresponding month of 2022, the State Bank of Pakistan (SBP)’s data revealed.
A significant contraction in investment outflow coupled with jump in foreign inflow led to the surge in FDI. The foreign outflows clocked in at $21.6m in January 2023 against $71.6m in same period last year.
The data further shows that on a country-wise basis, China emerged as the single largest investor with $68.4m poured into Pakistan in January. It was followed by Japan with $59.7m and Switzerland with $16.7m.
On a sector-wise basis, power sector attracted $78.1m with $58.4m going towards coal-based projects. This was followed by food sector with $56.9m investment and financial business with $48.7m.
The FDI during the first seven months (July-January) of the ongoing fiscal year contracted 44.2pc to $683.5m. Pakistan had reported FDI of $1.22 billion in same period of previous fiscal year.
As per SBP data, mining and quarrying space saw divestment of $232.1m in the seven months against the same period of previous fiscal year.
Communications sector recorded divestment of $93m with $89m leaving telecommunication space alone. Moreover, electronics sector saw divestment of $30.1m.
Australia divested net $231.5m in seven months, China remained net investor of $200.2m, while Japan poured net $133.9m.
