Pakistan is increasingly being recognized as a compelling destination for foreign investment, according to the latest findings from the OICCI FDI Survey 2025. The survey reveals that 73% of existing foreign investors now recommend Pakistan as a viable location for investment, a notable rise from 61% just two years ago. This growing confidence reflects the country’s commitment to structural reforms, macroeconomic stability, and investor-friendly policies.
The improving sentiment among investors underscores the impact of several key reforms aimed at enhancing the ease of doing business and supporting sustainable economic growth. Notably, the cost of energy has been reduced significantly, with industrial and agricultural users now paying Rs. 23 per unit, down from Rs. 38. This three-year relief package is expected to ease operational burdens, lower production costs, and improve competitiveness for domestic and foreign enterprises alike.
Financial accessibility has also improved substantially, with interest rates effectively halved to provide businesses and entrepreneurs with more affordable financing options. Easier access to finance is anticipated to fuel investment in productive sectors, stimulate business expansion, and accelerate economic activity across Pakistan.
Tax reforms are another pillar of the country’s investor-friendly approach. The government has rationalized the tax structure, providing relief for formal sectors while strengthening compliance measures. These reforms aim to create a more predictable and transparent tax environment, reducing the compliance burden for businesses and encouraging broader participation in the formal economy.
Regulatory processes have likewise undergone significant improvements, with faster approvals, simplified procedures, and shorter timelines. Processes that once took years can now be completed in weeks or even days, making Pakistan a more agile and responsive environment for investment. This regulatory ease, coupled with fiscal discipline, currency stability, and controlled inflation, provides a strong foundation for confidence among both existing and potential investors.
The OICCI survey results indicate that investors perceive Pakistan as moving in the right direction in terms of reform and revival. Global validations further confirm that the country’s strategic initiatives are resonating positively with the international investment community. The message is clear: ongoing structural reforms, combined with cost reductions and improved business conditions, are opening opportunities for sustainable growth, job creation, and economic resilience.
Analysts note that these reforms not only enhance the attractiveness of Pakistan for foreign direct investment but also create a conducive environment for innovation, entrepreneurship, and industrial expansion. As the country continues to prioritize economic stability, investment facilitation, and regulatory transparency, the potential for Pakistan to become a leading regional investment hub is increasingly within reach.
With continued focus on structural improvements and investor confidence, Pakistan is poised to transform its economic trajectory, offering opportunities for businesses, startups, and multinational investors seeking growth in South Asia.
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