Foreign profit and dividend repatriation rises 27% in FY26, totaling $1.56 billion

Foreign investors’ repatriation of profits and dividends surged by 27% in the first half of the current fiscal year (FY26), totaling $1.559 billion compared to $1.226 billion in the same period last year (FY25), according to the latest report from the State Bank of Pakistan (SBP). 

In December 2025 alone, around $89 million was repatriated, with $81 million from FDI and $8 million from FPI.

The rise in repatriation translates to an additional $333 million sent abroad, reflecting higher returns on both Foreign Direct Investment (FDI) and Foreign Portfolio Investment (FPI).

The increase in repatriated funds signals improved profitability for some foreign-owned businesses operating in Pakistan, along with smoother foreign exchange transfers compared to the previous year. 

FDI accounted for the majority of the outflows, with multinational companies in sectors such as power, telecommunications, and financial services transferring the bulk of profits. However, the repatriation under FPI saw a slight decline despite an improved equity market performance.

SBP’s analysis revealed that approximately 96% of the total outflow was from FDI, amounting to $1.5 billion during FY25, a 29% increase from $1.16 billion in the previous year. Meanwhile, repatriation under FPI stood at $60 million, down from $64 million in the same period last year.

Sector-wise, the financial services industry recorded the highest repatriation at $369 million during the first half of FY26, a significant increase from $164 million in the same period last year. The power sector followed with $359 million, up from $178 million in FY25.