Strengthening Pakistan\'s service exports

Pakistan exported approximately $38 billion worth of goods and services in FY24, an increase from around $35 billion in FY23, according to the Pakistan Bureau of Statistics. While service exports remained relatively stable, rising from $7.6 billion to $7.8 billion, the export of goods grew by $3 billion. The Information and Communications Technology (ICT) sector, often lauded as the second-largest source of crucial export revenue, saw a 25% increase in FY24, adding over $600 million to the total. However, exports from the financial sector collapsed by approximately 80%, and travel-related exports declined by nearly 22%. Other business services, which contributed over $1.5 billion in FY24, also saw a smaller decline of 5%. With service sector imports totalling $10.1 billion, the trade deficit in services stood at $2.3 billion, significantly lower than the $24 billion deficit in goods. The services sector, driven by ICT, is poised to play an increasingly vital role in generating export revenue, especially as the world becomes more digitised.