State Bank of Pakistan revealed the external trade data on 25th June, and according to it, Pakistan’s exports of Telecommunications, Computer and Information services increased by 48 per cent year-on-year in the 11 months fiscal year 2020-21 compared to the same period in the preceding fiscal year.
According to the data, the exports for the 11MFY21 reached $1.908 billion compared to $1.297 billion in 11MFY20. For the month of May, the earning for the developing sector of IT in Pakistan was $200 million compared to $126 million in May 2020. This is a 58.7 per cent increase YoY for the month of May.
Pakistan IT Exports in May 2021 have increased by 59% YoY to US$200mn.
— Topline Securities (@toplinesec) June 25, 2021
On the other hand, on a month-on-month basis, the IT sector saw a 2 percent increase in May 2021 from the preceding month of April, showing an uptick from $196 million to $200 million.
It is worth mentioning that the sector during the 11 months has already crossed the earnings of $1.44 billion made in the entire FY20, by $468 million.
Adviser to Prime Minister of Pakistan for Commerce and Investment Mr. Abdul Razzak Dawood has forecasted the ICT sector exports to cross the $2 billion mark for the first time in the country’s history.
If the data is divided into quarters, it can be seen that the exports see an increase during the first three quarters of the outgoing fiscal year 2021, from $445 million in the first quarter, to $553 million in the third quarter.
It must be mentioned that in the two months of the last quarter of the fiscal year, the exports have already reached $396 million, and might see an increase compared to the preceding quarters.
On the other hand, the state bank data showed that the year-on-year increase was also seen in the import of Telecommunications, Computer, and Information Services. In the 11-month fiscal year 2021, the imports increased to reach $493 million compared to $340 million in the same period of the preceding year.
Even considering the net exports, the YoY increase during the 11MFY21 was 48 per cent, compared to the same period last fiscal year.
In the ICT sector, the greatest earnings were seen in computer services, contributing $1.494 billion, or 78 per cent to the sector as a whole. It was followed by Telecommunication services, which contributed $410.3 million or 21.5 percent to the ICT sector exports during the 11MFY21.