The state of law and order in Pakistan continues to pose a significant obstacle to investment, as per a recent report. The deteriorating security situation in Karachi and ongoing challenges in the country’s western regions are dampening the confidence and operations of foreign investors. Data from the Overseas Investors Chamber of Commerce and Industry’s Security Survey 2026 revealed that 71% of member companies’ top leadership identified security as one of their primary business concerns.
The Secretary General of OICCI, M Abdul Aleem, emphasized the necessity for sustained enhancements in public safety to maintain the investment momentum. The report pointed out that security perceptions in Karachi have worsened, with 42% of respondents noting a decline in the security environment, up from 41% in the previous year. Similarly, in Quetta, 81% reported a deterioration in security, while in the rest of Balochistan, the figure stood at 86%.
Street crimes were highlighted as a major worry, with 50% of respondents in Karachi reporting an increase, compared to 45% in the previous year. In Quetta, the percentage of respondents noting a rise in street crimes surged from 24% to 37%. Overall, 32% of businesses stated that security conditions had worsened, up from 28% previously.
The report also mentioned that concerns regarding employees’ personal security during daily commutes escalated in Karachi and Quetta. Additionally, 88% of respondents indicated that the Middle East conflict had an impact on their organizations. Supply chain security, reduced business activity, and employee safety were identified as major concerns. The OICCI called on the government to maintain targeted security measures, bolster policing, and expedite institutional reforms to offer businesses a more secure and predictable operational environment.
