According to the Ministry of Finance's most recent Monthly Economic Outlook Report, Pakistan saw a 6.9% increase in foreign direct investment (FDI) in the first month of the current fiscal year (FY25), while worker remittances increased by 7.4%.
The report emphasizes positive trends in important economic indicators such as exports, imports, tax revenues, remittances, and foreign exchange reserves for the month of July 2025.
It is based on data from the Federal Board of Revenue (FBR) and other financial institutions.
According to the data:
- Remittances increased by 7.4% in July.
- Exports rose by 16.2%, and imports grew by 11.8%.
- Direct foreign investment reached a 6.9% growth.
- FBR tax revenues saw a 14.8% increase.
- State Bank of Pakistan’s (SBP) foreign exchange reserves surged from $9.3 billion to $14.3 billion.
The report also pointed to a 55% drop in total foreign investment, which includes portfolio and other non-FDI inflows, in spite of these gains.
Although the country's current account deficit in July exceeded $250 million, the inflation rate improved significantly, dropping from 11.1% to 4.1%.
Read More: Petroleum -prices likely to rise as global oil rates climb
The Pakistani Rupee saw a minor decline in value. The value of the local currency decreased slightly on August 27, 2024, when the USD was at Rs. 278.30, compared to the same date in 2025, when it rose to Rs. 281.80.
Based on improvements in the external account, fiscal performance, and real sector indicators, the report presents a cautiously optimistic picture of Pakistan's macroeconomic stability. The government is still cautious about exchange rate pressures and external vulnerabilities, though.
