Pakistan’s information technology exports hit an all-time high of USD 342 million in March 2025, reflecting a 12 percent increase compared to the same month last year and a similar 12 percent rise from February.
As reported by Topline Securities, this figure exceeds the 12-month average of USD 311 million, showcasing the sector’s remarkable growth, which has persisted for 18 consecutive months since October 2023.
In the first nine months of FY25 (9MFY25), IT exports reached USD 2.8 billion, marking a 24 percent increase from last year’s timeframe. Daily export earnings averaged USD 18.0 million in March, an increase from USD 16.1 million in February.
The sustained growth in IT exports has been attributed to multiple factors:
- Expansion of the global client base by IT companies, particularly in the Gulf Cooperation Council (GCC) region.
- The State Bank of Pakistan’s decision to relax the permissible retention limit in Exporters’ Specialized Foreign Currency Accounts, raising it from 35 percent to 50 percent.
- Permission for equity investment abroad through these accounts.
- Relative stability in the Pakistani rupee, encouraging exporters to repatriate a greater share of profits.
Pakistani IT companies have been actively participating in global markets, recently attending significant events like LEAP 2025 in Saudi Arabia and Web Summit Qatar 2025. A survey conducted by the Pakistan Software Houses Association (P@SHA) indicates that 62 percent of IT firms are currently holding specialized foreign currency accounts.
A significant development in FY25 is the State Bank’s introduction of a new category called Equity Investment Abroad (EIA), which permits export-oriented IT companies to invest in foreign entities using up to 50 percent of their foreign currency earnings. This initiative is anticipated to boost exporters’ confidence in repatriating their earnings to Pakistan.
In March 2025, net IT exports (exports minus imports) reached USD 311 million, representing a 13 percent year-on-year increase and a 12 percent month-on-month rise. This figure also exceeds the 12-month average of USD 269 million.
Analysts predict that the IT sector will maintain its momentum, forecasting an annual growth rate of 10–15 percent for FY25, potentially reaching between USD 3.5 billion and USD 3.7 billion. Under the government’s ‘Uraan Pakistan’ economic strategy, the IT export target is USD 10 billion by FY29, indicating a compound annual growth rate (CAGR) of 28 percent.
Within the sector, Systems Limited (SYS) remains a top investment pick. It is currently trading at forecasted FY2025 and FY2026 price-to-earnings multiples of 13.4x and 10.1x, respectively.
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