Despite COVID-19, Pakistan’s IT exports post impressive growth of 39pc

Despite the global slowdown amid the coronavirus pandemic, Pakistan’s IT exports continue their bullish run growing by 39 percent during the period from Jul-Nov 2020.

The country’s IT exports stood at USD763 million as compared to USD549 million in the corresponding period last year

“I want to congratulate our IT exporters for sustaining the growth in our IT exports. I am happy to share that for the period Jul-Nov 2020, our IT exports grew by 39 percent standing at USD 763 million as compared to USD 549 million in the corresponding period last year,” said Advisor to Prime Minister on Trade and Investment Abdul Razak Dawood on Wednesday.

“I have always believed in the abilities of our IT entrepreneurs. I urge exporters to aggressively market their IT exports. MOC will provide maximum facilitation for this purpose wherever required,” he added.

As per experts, the boost in IT exports come on the back of government incentives, relaxation of regulations by SBP including permission to remit funds out of Pakistan, tax incentives from FBR, global culture of WFH and remote jobs, and competitive wages in Pakistan compared to developed countries.

“The potential for IT exports is even higher in my view given right incentives, direction and opportunities for local workforce,” said Samiullah Tariq, Head of Research at Pak Kuwait Investment Company.

“Hopefully this trend continues and we can increase our IT exports to government's target of USD5bn by 2023. Worker's Remittances were stuck around USD1bn for many years. Finally they started increasing in 2002 and we received USD23bn during FY20 with an 18-yr CAGR of 19%,” he added.