The Overseas Investors Chamber of Commerce and Industry (OICCI) has reported a significant rebound in business confidence across Pakistan, according to the results of its latest Business Confidence Index (BCI) Survey – Wave 27. Conducted in March and April 2025, the survey’s findings were unveiled following a meeting between OICCI’s senior leadership and Federal Finance Minister Muhammad Aurangzeb.
The BCI jumped by 16 percentage points, moving from negative 5 percent in the previous survey (October–November 2024) to a positive 11 percent in the latest wave. This marked improvement is attributed to greater macroeconomic stability, easing inflation, and widespread optimism about business conditions over the next six months.
The manufacturing sector led the recovery, with confidence rising from negative 3 percent to a robust positive 15 percent. The retail and wholesale sectors also saw a turnaround, climbing from negative 18 percent to positive 2 percent. The services sector maintained its upward trajectory, improving from 2 percent to 10 percent.
Finance Minister Muhammad Aurangzeb welcomed the results, stating, “The uptick in business confidence is a clear sign that our economic direction is on the right track. We are focused on creating a conducive environment for investment, supporting private sector growth, and ensuring long-term macroeconomic resilience.”
OICCI President Yousaf Hussain echoed this sentiment, noting that business confidence has shown notable improvement over the past two years. “This sharp recovery in the latest BCI reflects the resilience of Pakistan’s business sector and its readiness to seize emerging growth opportunities,” he said. Hussain emphasized the need for greater policy consistency, transparency, and active engagement with stakeholders to sustain this positive momentum.
The survey revealed that 45 percent of respondents expect business conditions to improve over the next six months, citing economic growth, better government policies, an improved investment climate, and enhanced security as key drivers. While 53 percent of respondents still reported a negative outlook on business conditions over the past six months, this is a marked improvement from the 66 percent negativity recorded in the previous wave.
Foreign investors, represented by randomly selected OICCI members, showed a particularly strong boost in confidence, with their BCI rising from 6 percent to 17 percent. This was attributed to a more favorable global business climate, improvements in Pakistan’s industry environment, and expectations of increased capital investment.
Abdul Aleem, Chief Executive and Secretary General of OICCI, highlighted that the latest survey results exceeded expectations, with positive trends in employment, expansion, and investment plans—especially in the manufacturing and retail sectors. However, he cautioned that while new investment plans improved by 19 percent, they remained in negative territory, signaling a need for further action to accelerate economic growth and energize large-scale manufacturing, trade, and exports.
Looking ahead, respondents identified inflation, taxation, inconsistent government policies, and rupee devaluation as the top threats to business confidence, with inflation and taxation remaining the most pressing concerns.
The OICCI BCI survey, conducted twice a year, captures the views of major business stakeholders representing nearly 80 percent of Pakistan’s GDP.
