Pakistan’s communications sector recorded the highest foreign direct investment divestment during FY26, according to the State Bank of Pakistan. Foreign investors withdrew a net $456.1 million from the sector. Moreover, the outflow increased sharply from $70.3 million recorded during the previous fiscal year.
Communications, Auto And Food Sectors Face Outflows
The transport equipment, or automobile, sector posted the second-largest divestment during FY26. It recorded a net outflow of $116.8 million, compared with $152 million in the previous year.
Meanwhile, the food sector also experienced significant divestment. Foreign investors withdrew a net $102.1 million after the sector attracted $45 million in net investment during FY25.
Overall, Pakistan’s foreign direct investment declined to $1.64 billion during FY26. By comparison, the country received $2.48 billion in the corresponding period last year.
Power And Financial Sectors Lead Investment Inflows
Despite the broader decline, the power sector attracted the highest net foreign direct investment. It received inflows of $958.3 million during FY26. However, the figure remained lower than the $1.18 billion recorded in FY25.
The financial business sector ranked second with net inflows of $805.5 million. Additionally, the electrical machinery sector secured $146.3 million in cumulative foreign investment, despite an annual decline.
During June alone, Pakistan recorded foreign direct investment of $13.5 million. The food sector posted the largest monthly outflow at $163.7 million. Electronics and mining and quarrying followed with outflows of $35.2 million and $11.2 million, respectively.
Meanwhile, the financial business sector attracted the highest monthly inflow. Foreign investors injected $87 million into the sector during June.
