Escalating security concerns, fueled by geopolitical instability and regional issues, are significantly dampening foreign investor confidence and business operations in Pakistan, according to the Overseas Investors Chamber of Commerce and Industry (OICCI) Security Survey 2026. The survey, conducted in June, found that a substantial 71% of foreign companies’ top leadership identified security as a primary business concern.
The ongoing Middle East conflict has further exacerbated the security environment for 88% of respondents, leading to heightened worries about supply chain integrity, potential reductions in business activity, and the safety of employees. Perceptions of security have notably worsened in key areas like Karachi and Balochistan, where a rise in street crimes has been observed.
Despite these challenges, a strong majority of 87% of OICCI member companies expressed continued confidence in their ability to conduct board and management meetings within Pakistan. This suggests a resilient underlying belief in the country’s long-term economic potential among foreign investors.