Political instability and investment cannot co-exist, which is happening in Pakistan lately as political volatility and ensuing economic crisis are keeping investors at bay, reported Business Recorder.
The investment climate in the country is also plummeting and foreign direct investment in the country is drying up fast. For 8MFY23, net FDI was not even USD 1 billion. The country attracted net FDI of USD 784 million, down by 40 per cent year-on-year from USD 1.3 billion in 8MFY22, reported Business Recorder.
While outflows have been higher in some months and lower in others, FDI inflows have been continuously falling.FDI inflows for 8MFY23 were down by 27 per cent year-on-year.
Net FDI in February 2023 increased by 10 per cent year-on-year, which might not be considered any achievement as the base is small, and the slight uptick does not signify any improvement in the FDI flows to the country, reported Business Recorder.
