Foreign direct investment and Political Eras in Pakistan

Foreign direct investment and Political Eras in Pakistan (1998-2024)

Foreign direct investment and Political Eras in Pakistan

Foreign Direct Investment (FDI) is a crucial element for economic growth, particularly in developing countries like Pakistan. Over the years, Pakistan’s FDI trends have been influenced by various political and economic factors

  • 1998: FDI inflows significantly impacted by economic sanctions following Pakistan’s nuclear tests.
  • 1999: The military coup led by General Pervez Musharraf resulted in political uncertainty
  • 2001: The global economic slowdown and the aftermath of the September 11 attacks
  • 2003: Continued economic reforms and heightened investor confidence resulted in improved FDI inflows
  • 2004: FDI experienced a significant rise, reflecting the positive effects of economic liberalization and privatization initiatives.
  • 2005-2008: FDI peaked in 2008, driven by ongoing economic reforms and a period of political stability.
  • 2009-2013: FDI influenced by political transitions and global economic conditions.
  • 2014-2018: FDI remained relatively stable, supported by political stability under the PML-N government.
  • 2019-2024: FDI saw a decline, affected by political instability and economic challenges.

 

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