Pakistan IT Exports Reach Record $4.6bn in FY26

Pakistan’s information technology exports reached a new annual high of $4.6 billion in FY26, marking a significant development for the country’s digital economy. The record figure, reported from Karachi on July 18, 2026, reflects continued momentum in software services, technology outsourcing and international expansion by local IT companies.

The latest export performance shows a 21 percent rise compared with the previous fiscal year, when Pakistan earned about $3.8 billion from the sector. June alone contributed $416 million, showing growth both on a yearly basis and compared with the previous month, underlining the sector’s ability to generate foreign exchange even during a period of wider economic pressure.

Market analysts said the annual outcome also meant that the government had crossed its $4.5 billion export target for the outgoing fiscal year. That achievement is important because Pakistan has been trying to diversify its export base beyond traditional sectors such as textiles, rice and agriculture-linked commodities.

Topline Securities noted that the official target had been met, while BMA Research linked the improvement to Pakistani technology firms expanding their work in the Middle East, North Africa, Pakistan region and European markets. These observations suggest that local companies are not relying only on legacy outsourcing demand, but are seeking broader commercial access in competitive international markets.

The development fits into the government’s broader “Uraan Pakistan” economic roadmap, under which authorities have set a target of $10 billion in IT exports by FY29. Reaching that figure would require sustained growth, stronger digital skills, better payment channels, improved ease of doing business and deeper access to overseas clients.

Pakistan’s technology sector has gradually become one of the country’s more closely watched sources of export earnings. Freelancers, software houses, cloud service providers, fintech teams and digital support firms have contributed to the country’s global services footprint, while policymakers increasingly view the sector as a possible stabiliser for the external account.

The report also highlighted a mixed picture in mobile phone assembly. Local assemblers produced 1.93 million units in June, lower than both the same month last year and the previous month. Data from the Pakistan Telecommunication Authority showed that local assembly in the first six months of calendar year 2026 fell to 13.10 million units from 14.24 million units in the same period last year.

Despite the decline in assembly volumes, local manufacturing still met a substantial share of domestic mobile phone demand. In June, local production covered 75 percent of demand, compared with 86 percent in May, while the six-month ratio stood at 85 percent. This indicates that Pakistan’s device ecosystem remains meaningful, though it may need policy stability and stronger component supply chains to sustain growth.

The record IT export figure is likely to strengthen confidence among investors, policymakers and technology entrepreneurs. The next major test will be whether Pakistan can convert this one-year high into a durable growth path by improving talent development, supporting startups, encouraging formal remittance channels for freelancers and helping firms scale into higher-value global contracts.