Pakistan, July 27 -- The government's economic narrative remains upbeat, but the numbers tell a harder truth. Net foreign direct investment (FDI) rose just 5% in FY25 to $2.45 billion, while foreign firms pulled out $2.22 billion in profits and dividends.

These near-equal flows show that capital is treating Pakistan as a stopover rather than a destination, reflecting deep unease over erratic policy, weak contract enforcement, and punitive taxation.

The state's own house remains in disarray. State-owned enterprises (SOEs), especially in the power sector, are bleeding public finances dry. Combined losses have climbed to roughly Rs5.9 trillion, with circular debt now hovering around Rs4.9 trillion.

Nearly one-fifth of generated electricit...