Pakistan recorded a significant increase in foreign direct investment (FDI) during August 2026, with net inflows reaching $316 million, according to data from the State Bank of Pakistan compiled by Topline Securities.
The figure represents a 77% increase compared with July 2026 and an 80% rise year-on-year. Net FDI during the first two months of FY2027 also reached $495 million, showing a 24% increase compared with the same period last year.
The rise comes after Pakistan, Saudi Arabia and Türkiye signed the Makkah Joint Defence Agreement on August 7, 2026, aimed at strengthening cooperation and collective security.
Market reporting has linked the broader strategic developments to increased investor activity, although the available data does not establish the defence pact as the sole cause of the FDI increase.
The power and financial sectors recorded some of the largest investment inflows during August, while China, Canada and the United Arab Emirates remained among the major contributors to Pakistan’s FDI.
The latest figures highlight a notable increase in foreign investment activity as Pakistan continues efforts to strengthen economic cooperation and attract international capital.
