According to the Overseas Investors Chamber of Commerce and Industry (OICCI) Perception and Investment Survey 2025, 73% of foreign investors now consider Pakistan a favorable destination for foreign direct investment (FDI) — a significant improvement from 61% in 2023.
The OICCI released the report after a two-year gap, incorporating feedback from over 200 foreign companies operating in Pakistan. The survey attributed the surge in investor confidence to exchange rate stability, declining inflation, and overall improvement in macroeconomic conditions.
Respondents also ranked Pakistan higher than Bangladesh, Vietnam, and the Philippines in terms of investment attractiveness. Furthermore, parent firms of multinational companies (MNCs) currently operating in Pakistan expressed interest in expanding their investments. However, the report emphasized that eliminating structural bottlenecks is essential to sustain and attract new investments.
Investors highlighted persistent challenges such as delays in tax refunds, with some cases taking up to five years, which they described as a major hurdle to business continuity. According to the OICCI, 96% of multinational participants identified rising energy costs as a significant business risk, while 80% expressed dissatisfaction over excessive delays in tax reimbursements.
On a positive note, 58% of respondents believed that the benefits of macroeconomic stability will become more visible over the next three years. Several participants also noted that negative portrayals in international media adversely affect investment decisions regarding Pakistan.
The OICCI report further revealed that 35 major multinational companies in Pakistan intend not only to continue operations but also to increase their FDI commitments. It stated that government policies leading to currency stabilization, reduced inflation, and fiscal discipline have played a key role in restoring investor confidence.
Overall, the survey reflected an optimistic outlook for Pakistan’s economic future, with foreign investors increasingly viewing the country as a viable and improving investment hub.
