Pakistan’s net foreign direct investment (FDI) increased sharply in July 2026. It reached $179 million during the month.
The latest figures were reported by the State Bank of Pakistan. The data was compiled by Topline Securities.
Net FDI jumped 264 percent compared with June 2026. June recorded significant investment outflows from the food and electronics sectors.
Despite the monthly increase, foreign investment remained below last year’s level. July’s net FDI was 20 percent lower than the same month in 2025.
FDI Records Strong Monthly Recovery
Pakistan saw a major improvement in net foreign investment during July. The $179 million inflow marked a significant recovery from June.
The sharp monthly increase was partly linked to the outflows recorded in June. Those outflows were reported in the food and electronics sectors.
The latest figures show that foreign investors increased their net investment during July. However, the annual comparison remains weaker.
A 20 percent decline from July 2025 indicates that Pakistan still faces challenges in attracting investment.
Power and Financial Sectors Lead Inflows
The power sector received the highest foreign investment inflows during July. The financial sector was another major recipient.
According to Topline Securities, these two sectors led investment activity during the month.
Investment flows can vary significantly between months. Large transactions in individual sectors can also affect overall FDI figures.
The July performance therefore reflects both new inflows and earlier sector-level movements.
China and Canada Remain Major Contributors
Foreign investment also varied by source country. China and Canada remained the largest net contributors to Pakistan during July.
Their continued contribution highlights the importance of foreign investors from both countries.
Investment from major partners can support business expansion and economic activity. It can also provide capital for important sectors of the economy.
However, maintaining stable and consistent investment remains important for Pakistan.
Pakistan Still Faces Investment Challenges
The latest FDI figures present a mixed picture for Pakistan. The monthly increase shows a strong improvement from June.
However, the yearly decline suggests that investment inflows remain under pressure.
Foreign direct investment is important for economic development. It can support businesses, create employment, and increase productive capacity.
It can also bring new technology and expertise into the domestic market.
For Pakistan, attracting sustainable investment remains important for long-term economic growth.
Outlook for Foreign Investment
The July figures provide a positive monthly signal for Pakistan’s investment outlook. The sharp rise suggests stronger activity compared with June.
However, the 20 percent annual decline remains a concern. Future investment performance will depend on several economic and business conditions.
The power and financial sectors are likely to remain important areas for foreign investors.
China and Canada also continue to play a significant role in investment flows.
Pakistan will need to maintain investor confidence to achieve stronger FDI growth. Consistent policies and improved business conditions can support future investment.
The July data shows that foreign investment can change significantly from one month to another. The latest increase is encouraging, but the annual decline remains important.
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Overall, Pakistan recorded $179 million in net FDI during July 2026. The
