THIS refers to the news report ‘Repatriation of profits jumps 27pc to $ 1.27bn’ (April 29). Surprisingly, there appears to be an inverse ratio between FDI and the repatriation of profits by foreign investors. While the FDI is going down because of instability and inconsistent economic policies, the profit outflow is registering a growth of 27pc which is not understandable. The profit outflow is exerting pressure on our external account which is already in deficit.

Suspicion arises as to the real reason for growth in profit repatriation while the economy is nose-diving. The country is not immune to dubious practices by vested interests. The regulatory authorities like the SBP and FBR are politicised institutions and are not playing their role effectively.

Huma
Karachi

Published in Dawn, May 3rd, 2016