By Qudsia Bano

Pakistan’s information technology sector is gaining momentum as global companies increasingly diversify outsourcing operations, expand artificial intelligence integration, and seek cost-effective digital talent markets outside traditional technology hubs. Industry stakeholders say these shifts are creating fresh growth opportunities for Pakistan’s software exporters, freelancers, and technology start-ups. According to data released by the State Bank of Pakistan (SBP), Pakistan’s IT and IT-enabled services exports reached $3.39 billion during July–March FY2025-26, recording a 20 percent year-on-year increase.

Monthly IT exports rose to $413 million in March 2026, marking the second-highest monthly export figure in the country’s history. Analysts estimate the sector could close FY2025-26 with exports ranging between $4.5 billion and $5 billion if current growth momentum continues. Industry observers say the global shift toward cloud computing, AI-powered business operations, cybersecurity demand, and remote digital services has significantly increased outsourcing opportunities for emerging technology markets such as Pakistan.

Pakistan’s freelance economy has also expanded rapidly. According to SBP data cited in recent industry reports, Pakistani freelancers earned $557 million in foreign exchange during the first half of FY2025-26, reflecting a 58 percent increase compared to the same period last year. Digital infrastructure growth is further supporting the sector’s expansion. The Pakistan Telecommunication Authority (PTA) reported continued growth in broadband and mobile internet usage during 2025-26, helping technology firms expand remote operations and digital services nationwide.

Meanwhile, the Ministry of Information Technology and Telecommunication (MoITT) has continued policy initiatives focused on digital transformation, IT export facilitation, startup ecosystem development, and future 5G readiness as part of Pakistan’s broader digital economy strategy. Talking to Wealth Pakistan, Syed Junaid Imam, Member IT at MoITT, said that changing global technology priorities are creating long-term opportunities for Pakistani software exporters. “International companies are now diversifying outsourcing destinations instead of depending on a single market.

Pakistan is becoming increasingly attractive because local firms offer competitive pricing, a large English-speaking workforce, and growing expertise in cloud services, AI support, and enterprise software development,” he said. He added that demand from Gulf countries has increased significantly as regional businesses accelerate digital transformation projects. “Pakistani firms are no longer limited to small outsourcing contracts. Companies are now securing larger regional projects related to fintech, cybersecurity, health technology, and digital banking solutions.

That shift is improving export quality as well as export volumes,” Imam noted. Talking to Wealth Pakistan, Asfand Yar Khan, Director General IT at MoITT, said the global adoption of artificial intelligence is reshaping international IT demand while also opening specialized opportunities for countries with young technology talent. “Global demand is rapidly shifting toward AI integration, data analytics, cybersecurity compliance, and cloud migration services. Pakistani engineers are increasingly participating in these higher-value segments rather than relying only on traditional software development,” he said.

He noted that Pakistan’s expanding freelance ecosystem is helping local professionals connect directly with international markets. “Freelancers and remote developers from Pakistan are benefiting from the worldwide expansion of remote work models. With stronger technical training, policy continuity, and stable internet infrastructure, Pakistan can substantially increase its share in the global digital services market,” he added. The Pakistan Software Export Board (PSEB) has also expanded international branding initiatives under its “Tech Destination Pakistan” campaign to promote Pakistani technology firms in overseas markets.

Industry analysts believe Pakistan’s technology sector could remain one of the country’s fastest-growing export industries as global firms continue shifting toward digital operations, AI-driven services, and diversified outsourcing strategies. However, they stress that sustaining long-term growth will depend on policy consistency, internet reliability, skilled workforce development, and investor confidence.

Credit: INP-WealthPk