KARACHI: Outflow of profits and dividends on foreign investment in the country decreased in the first two months of the current fiscal year FY20, reported the State Bank of Pakistan (SBP) on Thursday.
The outflow dropped to $214.7 million during July-August of this fiscal year against an outflow of $240.5m in the same period last year.
State Bank of Pakistan (SBP) released numbers presented the flow of cash repatriated back by multinational companies fell down 44.64 percent to $76.5 million in August from $138.2 million in the previous month.
The payments on foreign direct investment during the period were $197.4m ($218.8m last year) while the payments on portfolio investment were $17.3m ($21.7m last year).
The highest outflow was from the oil and gas exploration sector at $38.3m compared to $35.2m in the corresponding period last year.
The outflow of profits from food and financial business was $23.7m from each sector. However, the profit repatriation from transport sector was significantly higher as it rose to $30m.
On the other hand, outflow from the chemical sector was also significantly higher than the last year; $23.1m against $9.8m respectively.
Currency devaluation also hit repatriation of profits and dividends. However, rupee stabilised and appreciated around 2 percent against the dollar between July and August; trading at an average of 159 to the dollar in July, compared with 156/dollar last month.
