Country witnesses steady inflow: SECP

SOHAIL SARFRAZ

ISLAMABAD: Pakistan has witnessed a steady inflow of foreign investment across multiple sectors over the past three years, with foreign investors injecting Rs 40.7 billion through equity acquisitions in local firms, reflecting improving macroeconomic stability and renewed investor confidence.

According to data compiled by the Securities and Exchange Commission of Pakistan (SECP), 79 new foreign companies commenced operations in the country between 2023 and 2025, while only 19 foreign companies exited during the same period, indicating a net positive inflow of international businesses.

Foreign investment has been concentrated in energy, logistics, information technology, agriculture, telecommunications, mining, and infrastructure, largely through joint ventures, acquisitions, and expansion of existing operations.

A total of 61 foreign companies carried out shareholding transactions involving Pakistani entities. Of these, 29 transactions involved transfers to other foreign companies, four to foreign individual investors, 20 to local individual investors, and eight to local corporate entities, SECP’s data revealed.

Many of these deals were driven by global restructuring among multinational corporations. Saudi Arabia’s Wafi Energy acquired Shell Pakistan’s operations as part of Shell’s worldwide portfolio reorganisation, while Dubai-based PTA Global Holdings obtained a majority stake in Lotte Chemical Pakistan following an international realignment between Lotte Chemical and Total Energies.

Switzerland’s Gunvor Group and Total Parco Limited jointly acquired Total Energies Pakistan on 50:50 basis, and Saudi Aramco purchased a 40 percent equity stake in Gas & Oil Pakistan Limited (GO Petroleum), reflecting strong interest in Pakistan’s downstream energy market, SECP data further disclosed.

In the logistics sector, UAE-based DP World entered into a joint venture with the National Logistics Corporation, strengthening supply chain infrastructure. In the digital sector, Bazaar Technologies acquired Wemsol (Pvt.) Ltd., while Saudi Arabia’s Waqub Data Company secured an 80 percent stake in Pakistani technology firm Woot Tech.

Telecommunications witnessed one of the largest transactions, with PTCL acquiring Telenor Pakistan’s operations as part of regional consolidation in the telecom industry. In pharmaceuticals, Pfizer transferred its Karachi manufacturing plant and related assets to Lucky Core Industries to ensure continuity of local production. France’s Sanofi sold its majority stake to a local investor consortium, after which the company was renamed Hoechst Pakistan Limited.

In agriculture and food processing, Italy’s Euricom S.p.A. acquired a 50 percent stake in Fatima Euricom Rice Mills, while Netherlands-based Berkeley Square Holding B.V. obtained 50 percent shareholding in major advertising firms including Ogilvy & Mather Pakistan, Mindshare Pakistan, and Soho Square Pakistan.

Beyond individual transactions, Pakistan continues to draw major global investors across strategic sectors. Energy companies such as Saudi Aramco, Wafi Energy, Gunvor Group, Turkish Petroleum, and SOCAR have expanded their footprint. The mining and minerals sector has attracted investments from Barrick Gold, Strategic Metals U.S., and Nova Minerals U.S., highlighting the country’s untapped resource potential.

The electric vehicle segment has seen new entrants including BYD, Chery Automobile, and NWTN Motors, while technology and telecommunications companies such as Google, Samsung, Relational, IceWarp, Pro Device, and Russoft Synercon are expanding operations. Infrastructure investments are also being supported by Abu Dhabi Ports and Portugal’s Mota-Engil Group.

Existing foreign investors have also strengthened their commitments. Mashreq Bank has launched and is expanding Pakistan’s first digital bank, while Kuwait-backed Raqami Digital Bank plans to invest USD100 million. UAE telecom group e& (formerly Etisalat Group) has acquired Telenor Pakistan. Nestlé is investing an additional USD60 million, VEON Group has increased investment in Mobilink Bank, and the Engro-Jazz consortium is investing more than USD550 million in digital infrastructure.

CPEC Phase-II has further accelerated industrial cooperation, with 24 business-to-business agreements valued at over USD1.5 billion and memoranda of understanding exceeding USD7 billion across agriculture, renewable energy, information technology, minerals, and industrial relocation.

Additional large commitments include a USD1 billion investment pledge from the UAE government through a local partner, a USD160 million cement capacity expansion by the Mansha Group, the entry of global logistics firm Nippon Express into TCS, and renewed investments in the mining and minerals sector. Several additional international partnerships are currently in advanced stages.

According to SECP records, 1,157 foreign companies are presently registered and operational in Pakistan, reflecting a broad multinational presence across the economy. Entry trends remained strong throughout the three-year period. In 2023, 31 foreign companies entered the market while six exited. In 2024, 21 entered and nine exited. In 2025, 27 new companies registered while only four ceased operations.