ISLAMABAD: Foreign investors injected $114.7 million into Pakistan’s treasury bills in the first 16 days of January 2026, reflecting growing confidence in the country’s macroeconomic stability, stable exchange rate, and improving financial fundamentals.
Pakistan has entered 2026 with clear signs of restored international investor confidence, as foreign inflows into Treasury Bills (short-term government debt instruments) crossed $ 114.7 million within the first 16 days of January, marking the highest monthly inflow in over six and a half months, according to the State Bank of Pakistan (SBP).
This strong momentum reflects increasing confidence in Pakistan’s improving macroeconomic fundamentals, including a stable exchange rate, sharply declining inflation averaging 3.5%, rising foreign exchange reserves, and a clear move toward monetary easing.
Pakistan’s financial markets are seen as stable, predictable, and attractive for investment. Treasury bill inflows during FY26 have already reached $ 625 million, highlighting renewed trust in the country’s economic trajectory.
According to experts, Treasury Bills inflows crossing $ 114.7 million in just 16 days signal a strong foreign appetite for Pakistan’s sovereign instruments.
Exchange Rate Stability has significantly reduced currency risk, encouraging foreign investors to park capital with confidence.
The experts say monetary easing by the SBP has lowered interest rates while maintaining inflows, reflecting trust in policy credibility, while Inflation at 3.5% has created space for growth-oriented policies without undermining stability.
Manufacturing Growth of 10% and improving reserves point to a broad-based economic recovery rather than a temporary rebound.
Analysts believe the Treasury Bills Programme will strengthen Pakistan’s external financing position by attracting stable, short-term foreign capital.
According to economic experts, the central bank’s clear and structured policy framework will significantly enhance predictability in financial markets, thereby reinforcing confidence among global investors, international financial institutions, and rating agencies.
Financial analysts say that an effective exchange rate management strategy will help reduce currency volatility, safeguard foreign exchange reserves, and create a conducive environment for sustained capital inflows into the country.
Analysts note that ongoing macroeconomic reforms aimed at fiscal and structural stability will strengthen Pakistan’s sovereign credibility, improve investor perception, and help lower long-term borrowing costs.
They say the revival of industrial and manufacturing sectors will not only drive export competitiveness but also create new jobs and underpin sustainable, long-term economic growth.
