Pakistan’s information technology and IT-enabled services (ITeS) export remittances, which include computer and call center services, experienced a slight month over month decline of around 4 percent in July, the first month of the current fiscal year. The remittances totaled $286 million, down from $298 million in June 2024.

Despite this monthly decline, official data shows a significant year-on-year increase of approximately 34 percent in IT export remittances, rising from $214 million in July 2023 to $286 million in July 2024.

The fiscal year 2023-24 saw IT export remittances reach an all-time high of $3.223 billion, marking a 24 percent growth compared to $2.596 billion in 2022-23.

Sector experts have expressed concerns that recent slowdowns in internet services could negatively impact the country’s IT exports. However, the Ministry of Information Technology and Telecommunications remains optimistic.

It credits the efforts of the ministry and the Pakistan Software Export Board (PSEB), in collaboration with the Special Investment Facilitation Council (SIFC), for enhancing international business development and improving the ease of doing business, which have bolstered IT and ITeS exports and increased industry confidence.

The ministry has identified several challenges, including policy inconsistencies, taxation issues, and banking hurdles, which are hindering the IT sector’s potential to reach an estimated $15 billion in exports.

According to the Economic Survey, Pakistan’s IT industry currently generates annual exports of approximately $2.6 billion. To achieve the ambitious target of $15 billion in annual exports over the next five years, the industry will need to add at least 200,000 skilled IT professionals. Pakistan’s ICT industry serves some of the world’s largest entities among its regular clients.