Pakistan’s Information Technology (IT) exports remittances including telecommunication, computer, and information services declined by 8 percent in May 2022 to $183 million compared to $198 million reported in May 2021. The export number for April is also the lowest since February 2021.
The State Bank of Pakistan (SBP) shared the data on Tuesday according to which during the first eleven months (July-May) of the current fiscal year 2021-22 the country’s Information Technology exports have surged to an all-time high of $2.381 billion growing by 26 percent compared to $1.898 billion during the same period in 2020-21.
However, the exports declined by a massive 26 percent on a month-on-month basis in May 2022 compared to $249 million in April 2022.
Minister for Information Technology and Telecommunications Syed Amin-Ul-Haque had recently said that the Federal Board of Revenue’s policies and some rules of the State Bank of Pakistan (SBP) are hindering the growth of IT exports in the country.
According to sources, the IT Ministry has set an export target of $5 billion for the next fiscal year, which would be subject to the resolution of outstanding issues with the FBR and the SBP. The ministry has concerns over matters related to withholding tax and incentives for freelancers.