Political uncertainty hits tech exports in Pakistan

Earlier this year, Pakistan was closing in on technology services exports of $3 billion for FY22. The sitting IT minister even claimed we’d surpass it, and based on the growth trajectory then, there was little reason to doubt him. All hopes for dollar inflows were pinned to one sector basically, apart from the mercy of our overseas brethren. But then, the growth began to taper off. After reaching a peak of $212.3 million in March, Pakistan’s telecom, communication and information services exports haven’t reached the same level again in seven months. To put it in context, previously, we were witnessing the “highest-ever” exports every 3-4 months, and the longest stretch was back in the first half of 2020. The issue takes a political colour as supporters of PTI blame the slowdown on the change in government and the resulting political uncertainty. On the other hand, sympathisers of the ruling party see it as a bug, instead of a feature. Luckily, that’s where the data can give us some context, or maybe confuse us even more, depending on how you look at it.