ISLAMABAD: Pakistan transferred $2.305 billion in profits and dividends to foreign investors during the 2025–26 financial year, compared with net foreign direct investment (FDI) inflows of approximately $1.64 billion.
The figures were presented to the National Assembly in a written response to a question from Dr Mahreen Razzaq Bhutto, according to reporting on the parliamentary proceedings.
The difference of roughly $665 million means profit and dividend repatriation was about 41% higher than net FDI during the financial year.
Of the total payments, $2.202 billion related to direct investment, while $103.7 million was associated with portfolio investments.
Which sectors accounted for the payments?
Manufacturing recorded the largest amount of profit and dividend repatriation at $564.3 million.
Financial and insurance activities followed at $537.4 million, while electricity, gas and related utilities accounted for $496.5 million.
Other significant sectors included wholesale and retail trade at $211.6 million, information and communication at $166.9 million, transportation and storage at $162.1 million, and mining and quarrying at $124.6 million.
These sectoral figures cover payments associated with both direct and portfolio investments.
Why the comparison needs context
The government cautioned that net FDI and repatriated profits measure different things.
Net FDI records investment flows during a particular period, while profits paid to foreign shareholders can arise from investments made over many years.
The government also indicated that improved foreign-exchange liquidity had allowed some previously delayed payments to be cleared.
It cited investment facilitation, Special Economic Zones and the Pakistan Investment Policy 2023 among measures intended to encourage new foreign investment and reinvestment.
The figures highlight the importance of distinguishing between fresh investment entering Pakistan and returns being transferred abroad by existing investors.
A separate quantified assessment of the effect of these payments on foreign-exchange reserves and the current account was not established in the parliamentary response described in the available reporting.