How Pakistan's IT exports crossed $3 billion for the first time

Pakistan's IT exports reached a historic high in fiscal year 2023-2024, crossing the $3 billion-mark for the first time.

This was primarily because of a change in regulations by the State Bank of Pakistan, which allowed IT exporters to convert only half of their export proceeds from dollars to rupees compared to 65% previously.

Other factors included the exchange rate stability, which encouraged exporters to send dollars home instead of keeping them in their foreign currency accounts in fear of the rupee’s rapid devaluation.

In addition, IT exporters continue to get tax relief — companies registered with the Pakistan Software Export Board only have to pay 1% tax on IT exports till 2026.

Moreover, Pakistani companies expanded their presence in the MENAP region, particularly Saudi Arabia. They also actively participated in Saudi Arabia’s Learning Edge Advancement and Progress — the world’s biggest tech event.

However, industry experts fear that this year’s exports may not grow as targeted amid a countrywide slowdown in internet speed, purportedly because of a firewall being installed by the authorities.