ICT sector delivered a standout performance in Oct-25, posting a historic monthly export figure of $386 million—the highest ever recorded. Exports were up 17 percent compared to last year and about 5 percent higher than Sep-25, marking the 5th straight month of year-on-year growth.
What makes this especially encouraging is that export inflows were not just larger in volume; they were also more consistent, with daily proceeds rising slightly to nearly $17 million. This signals genuine momentum in both underlying demand and exporters’ confidence to repatriate earnings.
This lifted 4MFY26 ICT exports to $1.4 billion, a strong 20 percent increase year-on-year. Technology exports now account for almost half of Pakistan’s total services exports—around 48 percent in 4MFY26. Within the ICT segment, the IT sector contributed over 80 percent of the total proceeds with software consultancy, freelance of computer and information services, exports of computer software leading the exports.
Several factors sit behind this surge. Pakistani IT companies have broadened their customer bases across the GCC, MENAP, and European markets, securing more recurring work and establishing deeper client relationships. A stable rupee has also helped, giving exporters more comfort to bring in a larger portion of their profits through formal banking channels. Policy measures have played an especially key role.
The State Bank’s decision to increase the retention limit in specialized foreign currency accounts—from 35 percent to 50 percent—has given companies room to manage expenses, invest, and expand without keeping funds offshore. The introduction of the Equity Investment Abroad facility, which allows exporters to use up to half of these retained balances to invest in overseas subsidiaries, has further encouraged firms to route their receipts through Pakistan rather than alternative jurisdictions.
However, some industry insiders also note that a small part of the recent jump in IT exports may be inflated. A few textile and manufacturing firms are reportedly routing part of their earnings through newly created IT entities to benefit from tax advantages. This does not change the overall positive trend, but it does mean that a portion of the growth may not reflect real IT activity.
The overall outlook remains robust and positive. Demand from regional markets is strong, and exporters are taking advantage of supportive policies and greater flexibility in managing foreign currency. If the exchange rate stays stable and the broader economy remains steady, the sector is likely to maintain its momentum through FY26.