Pakistan’s information technology industry reached a major milestone in October 2025, recording the highest monthly export figure in its history. Official data released on Monday confirms that IT exports surged to 386 million dollars, marking a 17 percent year-on-year rise and a 5 percent increase compared to the previous month. This historic achievement underscores the sector’s strengthening global footprint and highlights the success of recent policy measures aimed at boosting digital exports.
The October export figure also surpassed the 12-month average of 332 million dollars, demonstrating a clear upward trajectory and reinforcing the sector’s improving resilience. The performance marks the fifth consecutive month of year-on-year export growth, a streak that began in June 2025 and has continued to build momentum despite global economic fluctuations. Export earnings per day in October reached 16.78 million dollars, slightly higher than September’s daily average of 16.64 million dollars, reflecting sustained demand from international clients.
In the first four months of fiscal year 2026, Pakistan’s IT exports climbed to 1.4 billion dollars, registering an impressive 20 percent year-on-year expansion. Industry analysts attribute the continued rise to several converging factors. Pakistani IT companies have successfully expanded their presence across the GCC, a region that has become increasingly significant due to its rapid digital transformation initiatives and strong appetite for outsourcing. The ability of Pakistani firms to offer competitive pricing, skilled talent, and scalable digital solutions has strengthened their market position.
Supportive regulatory interventions have also played a decisive role. The State Bank of Pakistan’s move to increase the permissible retention limit in Exporters’ Specialised Foreign Currency Accounts from 35 percent to 50 percent has been welcomed by the sector. This policy allows IT exporters to maintain a larger share of their proceeds abroad for operational purposes, making it easier to pay for international tools, marketing expenses, subscriptions, and hiring. The SBP’s decision to allow equity investment abroad through these accounts has further enhanced operational flexibility, enabling companies to acquire stakes in foreign subsidiaries and expand their global footprint without facing procedural bottlenecks.
The Pakistan Software Houses Association’s recent survey found that 62 percent of IT companies currently operate specialised foreign currency accounts, underscoring broad industry reliance on these facilities. According to Topline Research analyst Sania Irfan, the Equity Investment Abroad initiative is boosting confidence among exporters, who now feel more secure in remitting proceeds back to Pakistan. She noted that the ability to invest up to 50 percent of specialised account funds into foreign entities is helping Pakistani firms strengthen their international operations while sustaining flows into the domestic economy.
Net IT exports, calculated as total exports minus imports, reached 335 million dollars in October. This represents a 12 percent year-on-year increase and a 2 percent month-on-month rise, exceeding the 12-month average of 292 million dollars. The improvement highlights the sector’s growing efficiency and reduced reliance on imported software and digital tools.
Looking ahead, the government has set an ambitious export target of 5 billion dollars for fiscal year 2026. While industry experts believe this goal may be challenging under current conditions, Topline Research forecasts a robust 18 to 20 percent growth, projecting IT exports to reach approximately 4.5 billion dollars by year-end. Achieving these figures will depend on continued policy consistency, investment in digital infrastructure, and the sector’s ability to maintain its competitiveness in key international markets.
Pakistan’s record-breaking performance in October signals a promising chapter for the country’s tech ecosystem. With consistent policy support and growing global demand, the IT sector is positioned to play an even larger role in shaping Pakistan’s economic landscape in the years ahead.
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