Pakistan IT exports climbed to an all-time high of $354 million in July, showing a 24 percent year-on-year rise and a 5 percent month-on-month increase, according to official data.
The July figure outpaced the 12-month average of $317 million, reflecting strong momentum in the sector. Analysts noted that daily export proceeds stood at $15.4 million in July compared to $17.8 million in June. Much of the monthly increase came from computer services, which jumped 10 percent to $311 million. Within this category, software consultancy exports rose to $104 million in July, up from $96 million a month earlier.
A Topline Securities official attributed the robust year-on-year growth to several factors, including the expansion of IT firms’ global client base, especially in the GCC region. The person added that the State Bank of Pakistan’s decision to increase the permissible retention limit in Exporters’ Specialized Foreign Currency Accounts from 35 percent to 50 percent also encouraged Pakistan IT exports.
The policy allows IT companies to invest equity abroad using these accounts, while stability in the Pakistani rupee has incentivized exporters to repatriate a larger share of profits. A recent Pakistan Software Houses Association (P@SHA) survey showed that 62 percent of IT firms operate specialised foreign currency accounts.
Additionally, the Equity Investment Abroad (EIA) scheme introduced by the State Bank has provided exporters with flexibility to acquire foreign equity using up to 50 percent of retained proceeds. This policy shift has further boosted confidence in channeling earnings back into Pakistan.
Net Pakistan IT exports, which deduct imports from gross exports, reached $317 million in July, marking a 26 percent increase compared to last year and a 4 percent rise from June.