Pakistan’s IT exports soar to record $366 million in September 2025

Pakistan’s technology sector achieved a new milestone in September 2025, with monthly IT exports reaching an all-time high of $366 million.

This figure represents a 25 percent year-on-year increase and a 9 percent rise from the previous month, surpassing the 12-month average of $326 million, according to Topline Securities.

For the first quarter of FY26, IT exports totaled $1.06 billion, up 21 percent compared to the same period last year.

Daily export proceeds in September averaged $16.64 million, up from $14.65 million in August.

The robust growth in IT exports is attributed to several factors. Pakistani IT companies have expanded their global client base, particularly in the GCC region. The State Bank of Pakistan’s decision to relax the permissible retention limit in Exporters’ Specialized Foreign Currency Accounts from 35 percent to 50 percent has also played a key role, said Topline Securities.

Additionally, exporters are now allowed to make equity investments abroad through these accounts, and the stability of the Pakistani rupee has encouraged IT exporters to repatriate a larger share of their profits, the brokerage house added.

A recent survey by the Pakistan Software Houses Association found that 62 percent of IT companies are maintaining specialized foreign currency accounts. Analysts believe that the State Bank’s introduction of the Equity Investment Abroad facility, which allows IT exporters to acquire stakes in overseas entities using up to 50 percent of their foreign currency proceeds, will further boost exporters’ confidence in remitting earnings back to Pakistan.

Net IT exports, calculated as exports minus imports, reached $330 million in September, marking a 29 percent year-on-year increase and an 8 percent rise from the previous month. This figure is also higher than the 12-month average of $286 million.

The government has set an ambitious target of $5 billion in IT exports for FY26 and aims to reach $10 billion by FY29 under the ‘Uraan Pakistan’ national economic plan. Achieving this would require a compound annual growth rate of 27 percent over the next four years.

Within the IT sector, Systems Limited is highlighted as a preferred stock pick, currently trading at a 2025 estimated price-to-earnings ratio of 21.6 times and a 2026 forecasted ratio of 16.1 times.