This study investigates the factors influencing foreign direct investment (FDI) in Pakistan from 1990 to 2023, focusing on political stability, trade liberalization, and macroeconomic conditions. The findings reveal that political stability does not have a significant effect on FDI inflows, while export growth, trade openness, and price stability are key drivers of foreign investment. Overall, the study highlights the importance of strengthening economic fundamentals and maintaining macroeconomic stability to improve Pakistan’s investment environment.