FDI falls to $178.6 million in July, but stronger portfolio and public investment flows lift total foreign investment to $205.5 million.

ISLAMABAD: Pakistan recorded a 20 percent year-on-year decline in foreign direct investment (FDI) in July 2026, the first month of fiscal year 2026-27, according to data released by the State Bank of Pakistan (SBP) on Tuesday.

The central bank reported that FDI inflows fell to $178.6 million in July 2026, compared with $223.5 million in the corresponding month of 2025.

Despite the decline in direct investment, portfolio investment recorded an inflow of $18.4 million during July 2026, compared with an outflow of $33.8 million in the same month of the previous year.

As a result, total foreign private investment increased to $197 million in July 2026, compared with $189.7 million in July 2025.

Foreign public investment also improves

Under foreign public investment, investment in debt securities recorded an inflow of $7.5 million in July 2026, compared with an outflow of $10.8 million in the corresponding month of the previous year.

Consequently, Pakistan’s total foreign investment increased to $205.5 million in July 2026, compared with $178.9 million in July 2025.

The data shows that while FDI remained under pressure at the beginning of FY2026-27, stronger portfolio and public investment flows helped lift overall foreign investment compared with the corresponding period of the previous year.