Jul Foreign investment declines by 61%
Karachi: The foreign investment has witnessed a drop of 61% during July 2011 on the back political uncertainties and tense law & order situation.
According to Alfalah Securities Limited, the net inflows of foreign investment (FI) stood at USD 62 mn in July 2011 as against USD 157.8 mn in the same period last year. The foreign direct investment (FDI) component of FI recorded a decline of 17.2% to USD 91 mn. Whereas the major impact came in the portfolio investment (PI) due to global economic turmoil leading it to decline by 160% turning to negative position of USD 29 mn as compared to positive USD 48 mn an year ago. The investment scenario is expected to remain dampened unless stringent measures are administered to improve on law & order front and investor friendly policies.