ISLAMABAD – Pakistan has seen an 86percent surge in repatriation of profits and dividends on foreign investments during the first quarter of FY26, reaching $752 million, up from $404.5 million in the same period last year.
The massive jump comes as the government eases strict controls on outward profit transfers, which had been tightly restricted for the past three years. Analysts say this bold move is largely due to IMF pressure demanding greater freedom in foreign exchange transactions.
Despite this impressive surge, the economic outlook remains tense. While a $110 million current account surplus was recorded in September, Pakistan’s trade deficit has ballooned to $9 billion in the first quarter. The government is also negotiating to extend deadlines for major foreign debt repayments in FY 2026.
China topped profit repatriation with $205 million sent home, up from just $34 million last year, though Chinese FDI plummeted from $502 million to $188 million. United Kingdom: $162 million (up from $145 million)
United States: $68 million (up from $56 million) Netherlands: $92 million (up from a mere $0.67 million)
With central bank reserves at $1.44 billion and improving ties with the IMF, experts predict that profit repatriation rules will remain relaxed for the rest of FY 2026.
Pakistan’s remittances hit all-time high with $38.3 billion inflow