By Ijaz Kakakhel

Pakistan received $6.235 billion in net foreign direct investment (FDI) from FY2024 through July-April FY2026, while gross FDI inflows reached $10.412 billion over the same period.

According to official data available with Wealth Pakistan, net FDI stood at $2.347 billion in FY2024 and increased to $2.477 billion in FY2025. During July-April FY2026, another $1.410 billion in net FDI was recorded.

Gross FDI inflows amounted to $3.166 billion in FY2024, increased to $4.268 billion in FY2025 and stood at $2.978 billion during July-April FY2026.

According to the document, the Special Investment Facilitation Council (SIFC), established on June 20, 2023, serves as a whole-of-government facilitation platform aimed at improving investor confidence, resolving inter-agency bottlenecks and fast-tracking investment proposals.

The SIFC has processed and facilitated investment proposals across a broad range of priority sectors, including mines and minerals, energy, agriculture, information technology and telecommunications, infrastructure, industry, financial services and privatisation-linked opportunities.

These proposals involve both foreign investors and local sponsors and partners.

The document notes, however, that company-wise disclosure of proposals at the memorandum of understanding, letter of intent, negotiation, due diligence, financing closure or regulatory approval stages involves commercially sensitive information, investor confidentiality and ongoing inter-governmental or private-sector negotiations.

It further clarifies that actual materialised FDI is reflected in State Bank of Pakistan statistics, while proposals under negotiation or at the MoU or LoI stage remain contingent upon the completion of due diligence, regulatory approvals, financial close, land and utility arrangements and corporate investment decisions.

While a number of investment proposals facilitated through the SIFC have progressed towards implementation, some projects and negotiations have faced delays, restructuring, deferment or, in limited cases, non-materialisation.

According to the document, such developments are common in large-scale domestic and foreign investment processes and generally arise from commercial, regulatory, technical or global market considerations rather than a reversal of government policy.

The principal factors contributing to delays or deferment include changes in global economic and financial conditions, fluctuations in commodity and energy markets, financing and financial-close requirements, land acquisition and utility connectivity issues, evolving business viability assessments by investors and compliance with applicable regulatory and legal frameworks.

In some cases, investors have also opted to reassess timelines or investment scale in light of international market conditions and geopolitical developments.

The SIFC continues to engage with relevant federal and provincial stakeholders to resolve bottlenecks, facilitate approvals and improve coordination, with the objective of creating an enabling investment environment and maximising the conversion of investment proposals into actual investments.

Credit: INP-WealthPk