Pakistan's FDI rises 20% to USD 720 million in first quarter
Financial businesses and power lead quarterly inflows as Canada and China emerge as major investment sources; IT exports reach USD 435 million in September
Business Desk
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A trader shows US dollar notes at a currency exchange booth in Karachi, Pakistan.
Reuters
Pakistan’s net foreign direct investment rose nearly 20% from a year earlier to USD 719.7 million in the first quarter of fiscal 2026-27, according to State Bank of Pakistan data.
FDI stood at USD 219.5 million in September, up about 18% from a year earlier but down 32% from August.
Mining and financial businesses attracted the highest FDI inflows during the month, while Canada and the United Kingdom were the leading net contributors by country, Topline Securities said.
Which sectors attracted the most FDI in the first quarter?
Financial businesses received the largest net FDI during July-September at USD 191.3 million, up from USD 137.6 million a year earlier. Power followed with USD 139.4 million, compared with USD 105.6 million in the corresponding period.
Financial-business FDI increased by about 39% from a year earlier, while investment in the power sector rose by roughly 32%.
Chinese net investment increased to USD 197.5 million during the quarter from USD 121.3 million in the corresponding period of FY26.
Canadian investment rose to USD 229.2 million from USD 224.9 million a year earlier, making Canada the largest source of net FDI during the quarter.
Pakistan's IT exports reach USD 435 million in September
Separately, Pakistan’s information technology exports rose 19% from a year earlier to USD 435 million in September, reaching a nine-month high, according to Topline Securities.
IT exports increased 10% from August, partly because September had more working days, the brokerage said in its October 16 research note.
IT exports totaled USD 1.25 billion in the first quarter of FY27.
Over the 12 months through September, exports reached USD 4.8 billion, up 20% from USD 4 billion over the comparable previous period.
Net IT exports, calculated as exports minus imports, rose 10% from a year earlier to USD 364 million in September.
Pakistan targets USD 10 billion in annual IT exports
Under the government’s Uraan Pakistan economic plan, Pakistan aims to raise annual IT exports to USD 10 billion by fiscal 2028-29.
Topline estimates that reaching the target would require compound annual growth of 27.8%.
The latest figures show stronger foreign investment and continued growth in technology exports during the opening quarter of FY27.
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