Repatriation of profits and dividends on foreign investments in Pakistan surged 226% year-on-year (YoY) in April 2025 to $121.5 million, according to data released by the State Bank of Pakistan (SBP).
Despite the strong YoY growth, the figure showed a 23.1% decline compared to March 2025, when outflows stood at $157.9 million, as reported by Arif Habib Limited (AHL).
Over the first ten months of FY25 (July to April), total repatriation amounted to $1.83 billion, marking a robust 107% YoY increase from the $882.6 million recorded during the same period in FY24.
This growth reflects improving investor confidence, a relatively stable currency environment, and the easing of foreign exchange restrictions, allowing multinational companies to remit their earnings more freely.
The financial business sector led with $74.0 million in repatriation, marking a 355% YoY increase and a 216% month-on-month (MoM) rise. The communications sector followed, with outflows of $4.4 million, up 89% YoY. The power sector recorded $11.9 million in repatriation, a 59% YoY increase, although it showed an 85.8% decline compared to the previous month’s $83.3 million.
The pharmaceutical and over-the-counter (OTC) segment also experienced significant growth, with $9.7 million in outflows, up 229 times compared to the previous year. Other sectors such as tobacco and beverages also saw notable recoveries from previous lows.
However, several sectors underperformed. Repatriation from oil and gas exploration plummeted by 92% YoY, with only $0.1 million repatriated. The cement sector showed no outflows during the month, a decline from $1 million in April 2024. The “others” category also saw a 64% YoY drop, with $9.9 million repatriated.
Throughout the 10 months of FY25, financial businesses topped the list with $288.2 million in total repatriation, followed by the power sector at $339.8 million, an extraordinary 1816% increase from the previous year.
The food sector also showed substantial growth, reaching $291.1 million, up 1671% YoY. Other significant contributors included communications ($94.6 million), oil and gas exploration ($109.3 million), and tobacco ($105 million).
The trend of repatriation peaked in May 2024, with $918 million driven by improved macroeconomic indicators and the resolution of previously delayed remittances.
Since then, the trend has moderated, with April 2025’s figure of $121.5 million showing a partial rebound after a dip in the earlier months of the year.
