Pakistan’s business sentiment has swung into positive territory for the first time in years, with confidence levels rising to +11 per cent in May 2025, up from -5 per cent six months earlier, according to the latest Foreign Investors’ Business Confidence Survey by the Overseas Investors Chamber of Commerce and Industry (OICCI).
The shift marks a sharp turnaround from May 2023, when confidence was at a low of -25 per cent. The recovery, spanning two years, signals growing optimism across companies regarding economic conditions, expected sales, profit margins and expansion plans.
Khurram Schehzad, Advisor to the Finance Minister, said the improvement was driven by a more positive outlook on business conditions at the company, industry, and national levels. Expectations of higher sales volumes and profitability also contributed to the rebound.
Foreign investors already operating in Pakistan echoed this trend. Confidence among OICCI member firms rose to 17 per cent, up from 6 per cent in the previous survey.
All major sectors—manufacturing, retail, and services—have reported continued positive sentiment since 2022. Business confidence in metropolitan areas improved by 17 percentage points to +14 per cent, while non-metro regions saw an 8-point increase.
The results offer a rare bright spot for an economy that has been battling inflation, policy uncertainty, and external financing challenges in recent years.
