Karachi [Pakistan], May 23 (ANI): Pakistan likely to witness a financial crisis as the flow of foreign investment into the country's economy dropped 32.5 per cent to USD 1.55 billion in the first 10 months of the current fiscal year.
According to The Express Tribune, the flow of foreign investment into different sectors of Pakistan's economy like power, telecommunication, oil and gas exploration remained moderate at 1.55 US billion dollars in the first 10 months (July-April) of the current fiscal year.
Uncertainty across the globe due to COVID-19 - including Pakistan - has encouraged international investors to hold back new investment plans until things settle down in the coming months and years.
The inflow of foreign direct investment (FDI) into the country dropped to USD 1.55 billion in the first 10 months of current fiscal year 2020-21 compared to USD 2.3 billion in the same period of last year, the State Bank of Pakistan (SBP) reported on Friday, The Express Tribune reported.
In April alone, foreign investment improved to USD 158.4 million compared to USD 151.1 in the same month of the previous year.
"FDI inflows into Pakistan remain moderate," remarked Pak-Kuwait Investment Company Head of Research Samiullah Tariq while talking to The Express Tribune.
"They should grow over the next one year in the wake of stability in the rupee-dollar parity and improvement in the balance of payments position in FY21."
Special Economic Zones (SEZs), which were under the development phase, would also attract FDI among export sectors in the country, he said. (ANI)