It’s superb news that foreign investment into Pakistan is growing at such huge leaps, and thanks greatly to brotherly nations like Saudi Arabia.
Pakistan registers impressive 124pc FDI growth
ISLAMABAD — Pakistan’s total foreign direct investment (FDI) registered an impressive growth of 124 per cent in the first five months (July-November) of the current fiscal, latest official statistics released here yesterday showed. The FDI climbed to $734.1 million compared with $327.7 million in the corresponding period of 2004-05. According to the Board of Investment data, the portfolio investment increased by 532.9 per cent and stood at $270.9 million in the first five months of this fiscal against the only $42.8 million in the corresponding period of the previous fiscal. The total investment (FDI and portfolio investment together) registered an increase of 171.4 per cent and stood at $1,005 million in July-November 2005-06 against $370.5 million in the same period of 2004-05. Power, communications, oil and gas explorations, financial business, trade and chemicals were the top five sectors to have attracted 92 per cent of the FDI in July-November 2005-06. The inflow of FDI stood at $268.4 million in November, $137 million in October, $102.9 million in September, 106.2 million in August, and $119.6 million in July of the current financial year.
Saudi Arabia topped the list of the investing countries. It has invested $265.6 million in the first five months, which is about 36 per cent of the total FDI. The United States was the second largest investor. Its investment stood at $170.8 million representing 23.3 per cent of the total FDI size. The UK was the third largest investing country to have invested $56 million or 7.7 per cent of the total investment. With an investment of $38.7 million, the Netherlands was the fourth largest investors having 5.3 per cent share in the total investment. Switzerland and Japan remained fourth and fifth largest investors with $32.8 million and $19.8 million, respectively. The FDI inflow from other countries stood at $150.2 million, which is 20.5 per cent of the total FDI.
The total investment in the power sector stood at $281.2 million in the first five months of the current fiscal that is 38.3 per cent of the total FDI size. Communications (IT & transport) attracted an investment of $146.7 million that is 20 per cent of the total FDI. The FDI stood at $114.5 million in the oil and gas explorations sector that is 15.6 per cent. Financial business attracted an investment of $59.7 million or 8.1 per cent of the total FDI. The investment in trade sector stood at $49.3 million that is 6.7 per cent.