Profit and Dividend Outflows Fall 13.4% in 2MFY27

Profit and dividend repatriation by foreign investors declined 13.4% YoY to $557.6 million during the first two months of FY27, compared with $643.7 million in the same period last year, according to State Bank of Pakistan data.
 
The decline comes after profit and dividend outflows increased 3.87% to $2.3 billion during FY26.
 
The SBP’s foreign exchange reserves recently reached $21.4 billion, supported by a $3 billion inflow from Pakistan’s Eurobond issuance, easing foreign-exchange constraints on profit repatriation.
 
Pakistan attracted $1.64 billion in foreign direct investment (FDI) during FY26, down 34% from $2.48 billion a year earlier. The weaker investment inflows have also contributed to lower profit repatriation during the current fiscal year.
 
China remained the largest destination for repatriated profits during July-August, receiving $161.2 million, down from $205.6 million a year earlier.
 
Profit outflows to the Netherlands rose to $107 million from $86.7 million, while those to the UK declined to $103 million from $147.5 million.
 
The UAE recorded the sharpest decline, with profit repatriation falling by more than 50% to $19.2 million from $45 million during the same period last year.

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