Amidst a global digital revolution, Pakistan's Information Technology (IT) sector is emerging as a beacon of economic growth and innovation, with its recent surge in exports underscoring a compelling narrative of untapped potential and promising opportunities. According to the State Bank of Pakistan, the country's IT exports increased by 39.47% to $265 million in January 2024 as compared to $190 million the same month last year, though there was a 13% month-on-month (MoM) decrease from December 2023. IT exports in January 2024 were also higher than last 12-month average of $227 million. "The surge in Pakistan's IT exports reflects the sector's resilience and adaptability. Continued government support and strategic investment in technology infrastructure will be crucial to sustain this growth momentum and further expand the country's digital economy," said Asfand Yar Khan, Director General Information Technology, Ministry of Information Technology and Telecommunication. Talking to WealthPK, he said the recent increase in Pakistan's IT exports demonstrated the sector's ability to adapt and withstand challenges.

"To maintain this growth and continue expanding the digital economy, continued government support and strategic investment in technology infrastructure will be crucial." He said Information and Communications Technology (ICT) was key to strengthening the country's economy. According to him, the government of Pakistan is taking steps to support the growth of the country's IT sector and increase exports. "Some notable initiatives include creating specialised courts to handle IT-related legal disputes, allowing PayPal to operate in the country for easier international money transfers, making sure that faster 5G internet is available, and creating a fund to support new startups. All of these efforts have helped create an environment that is more favourable for IT companies to thrive in Pakistan." According to SBP, IT exports recorded $1.7 billion during the first seven months (July-January) of the ongoing fiscal year 2023-24, a 13% increase from $1.5 billion during the same period the previous year. Net IT exports in January 2024 were $240 million, up 35% YoY, but down 9% MoM. The net IT exports in January 2024 also exceeded the last 12-month average of $199 million. In 7MFY24, net IT exports grew by 11% YoY to $1.5 billion.

Credit: Independent News Pakistan (INP)