Foreign investors repatriate $2.3 billion from Pakistan in FY26

Whole-sale and retail trade accounted for $211.6 million in repatriated earnings.

Foreign investors repatriated $2.305 billion in profits and dividends from Pakistan during fiscal year 2025-26, according to State Bank of Pakistan data released Monday, as improved foreign exchange liquidity allowed multinational companies to clear earnings and dividend payments that had been delayed during the country’s earlier dollar shortage.

The total marks an increase from $2.219 billion repatriated in FY25, it included $2.202 billion in payments tied to foreign direct investment and $103.7 million linked to foreign portfolio investment.

In June alone, repatriation totaled $151.4 million, made up of $140.6 million in FDI earnings and $10.8 million in portfolio investment payments.

The rise follows a broader strengthening of Pakistan’s external position over the past year, supported by higher foreign exchange reserves, record remittances from overseas workers, and improved dollar liquidity.

That stronger financial footing has allowed the central bank to process profit and dividend payments that had previously faced delays. Manufacturing remained the largest source of profit and dividend outflows in FY26, with $564.3 million repatriated, though that figure declined from $614.6 million the previous year.

Financial and insurance activities ranked second, with outflows rising sharply to $537.4 million from $384.9 million in FY25, reflecting stronger earnings among foreign owned banks and financial institutions.

The electricity, gas, steam, and air conditioning supply sector followed closely, with repatriated earnings climbing to $496.5 million from $401.7 million a year earlier.

Whole-sale and retail trade accounted for $211.6 million in repatriated earnings, followed by information and communication at $166.9 million and transportation and storage at $162.1 million.

Mining and quarrying generated $124.6 million in outflows, while other service activities and administrative and support services contributed $13.9 million and $12.8 million, respectively.

Smaller contributions came from professional, scientific, and technical activities at $9.3 million, accommodation and food services at $3.6 million, and construction at $2 million.  Agriculture, forestry and fishing; water supply and waste management; and human health and social work activities each accounted for just $0.1 million.

No profit or dividend repatriation was recorded during FY26 from real estate, education, or arts, entertainment, and recreation sectors.

The sector by sector data highlights how unevenly foreign investment returns are distributed across Pakistan’s economy, with manufacturing, financial services, and energy accounting for the vast majority of outflows, while several sectors saw little to no repatriation activity.