Repatriation of profit and dividend by foreign investors remained almost flat during the first five months (Jul-Nov) of this fiscal year (FY20) compared to the same period of last fiscal year (FY19). According to the State Bank of Pakistan (SBP), foreign investors repatriated some $ 670 million on account of profit and dividend during July-Nov of FY20 against $669 million in the corresponding period of last fiscal year.

During the period under review, major outflow of profit and dividend was witnessed from Foreign Direct Investment (FDI) and cumulatively over 89 percent of the repatriated amount was sent as returns on FDI.

Foreign investors sent abroad some $ 600 million on account of returns on FDI during the first five months of the current fiscal year compared to $ 562.6 million in the corresponding period of last fiscal year, depicting an increase of 6 percent or $38 million.

In addition, with a decline of $ 36 million, some $ 70 million was repatriated on account of return on portfolio investment during July-Nov of FY20 relative to $ 106.4 million in the corresponding period of last fiscal year. The major repatriation was registered from the financial business wherefrom foreign investors repatriated some $ 140 million in first five months this fiscal year. Oil and gas exploration was second largest sector with an outflow of $ 108 million.

Copyright Business Recorder, 2019