Islamabad | July 19, 2025
Pakistan’s IT and freelancing exports have soared to a historic high of $4.6 billion in the fiscal year 2024–25, marking a 26.4% increase compared to the previous year. While the government hailed this as a major milestone and evidence of policy success, the tech industry remains cautiously optimistic — pointing to structural challenges and a lack of consistent policy support that continue to hold back potential.
A Dual Story: Record Growth, Lingering Concerns
Of the $4.6 billion total, around $3.8 billion came from IT and IT-enabled services (ITeS) exports, while freelancing and remote work brought in $779 million — the latter showing a massive 90% jump. The figures reflect a maturing ecosystem of digital professionals, startups, and service exporters.
Yet behind the celebratory headlines, industry insiders voiced concerns over red tape, unpredictable tax policies, and a need for greater institutional support.
Government Credits Unified National Strategy
Speaking at a press conference, IT and Telecom Minister Shaza Fatima Khawaja attributed the record-breaking exports to a unified national strategy driven by both civilian and military leadership under the Special Investment Facilitation Council (SIFC).
“This growth didn’t happen by accident,” she said. “It’s the outcome of collaborative efforts by the Ministry of IT, PTA, Finance Ministry, Planning Commission, USF, Ignite, and the Pakistan Software Export Board (PSEB).”
She highlighted that Pakistan is aiming for $15 billion in IT exports by 2030 and is “well on track” to hit that target.
Human Capital at the Heart
A key pillar of the government’s strategy has been talent development. Over 350,000 young Pakistanis have been trained through partnerships involving PSEB, Ignite, NAVTTC, HEC, and global tech giants like Google, Huawei, and Microsoft.
“The future belongs to skilled youth,” Shaza noted, pointing to the success of these joint programmes in equipping Pakistan’s workforce for a digital economy.
Additionally, the ministry established 43 new co-working spaces and 23 Special Technology Zones in the past year alone, bringing the total number of tech parks to 44. These hubs now support over 18,000 professionals engaged in freelancing, remote work, and startup ventures.
To expand this ecosystem further, the government plans to introduce interest-free loans aimed at building co-working infrastructure in tier-2 and tier-3 cities — a step toward inclusive digital growth.
Connectivity Gains, Bridging the Divide
Minister Khawaja also outlined the country’s digital infrastructure progress. With over 200 million mobile subscribers and 150 million active broadband users, Pakistan’s data consumption rose 24% last year — signaling deeper digital adoption.
One notable achievement was the Universal Service Fund’s (USF) effort to connect more than 550 underserved villages to the internet. The goal this year: double that number.
“Where the market doesn’t go, we will,” she said, describing the government’s commitment to bridging the digital divide.
In a significant step for future connectivity, the minister revealed that the groundwork for licensing Low Earth Orbit (LEO) satellite internet providers is nearly complete. Licences are expected to be issued later this year, potentially expanding high-speed access to Pakistan’s remotest regions.
$25 Billion Digital Vision
The minister also reaffirmed Pakistan’s ambitious $25 billion digital vision, comprising $15 billion in IT exports and $10 billion through national digitisation. At the heart of this vision lies the upcoming Digital Pakistan Act, which will establish the long-awaited Pakistan Digital Authority to oversee policy execution and innovation governance.
“We are moving from isolated projects to a full-fledged digital economy,” she asserted.
Industry Wants a Predictable Framework
Despite these accomplishments, the tech industry remains wary. The Pakistan Software Houses Association (P@SHA) welcomed the export surge but emphasized the need for policy continuity and regulatory simplification.
“Tech entrepreneurs spend more time navigating compliance issues than building products,” said P@SHA Chairman Sajjad Syed in a statement. He urged the government to introduce a long-term, predictable tax and compliance framework, adding that repeated policy shifts and overlapping jurisdictions have hampered innovation.
The Road Ahead
There’s no denying the momentum — Pakistan’s IT exports have never been higher, and its digital infrastructure is expanding fast. The government’s coordinated push across skills development, infrastructure, and policy seems to be paying dividends.
But for Pakistan to truly unlock its tech potential and compete globally, the next phase must focus on stability, trust-building with industry, and a business environment where innovation is rewarded, not restrained.
The numbers tell a promising story — but whether this moment becomes a long-term movement will depend on the government’s ability to pair ambition with consistency.
