Page 77 - CMA Journal (Nov-Dec 2024)

SECTOR BRIEF

S B

IT Software Industry in Pakistan

By ICMA Research and Publications Department

Pakistan’s IT sector is rapidly expanding, with ICT exports increasing by 28% to US$ 1.86 billion in H1 FY 2024-25.
Recognized as the “Tech Destination of the Year” at GITEX Global 2024, the industry demonstrates growing global
competitiveness. The Digital Nation Pakistan Bill 2025 and the Digital FDI Initiative reinforce the country’s
commitment to digital innovation. With a young, skilled workforce, Pakistan aims to achieve an IT export target of
up to US$ 15 billion, strengthening its position as a global technology hub.
Historical Background

Post-Independence Technological Challenges: Pakistan faced significant infrastructure and technological
1947 deficits at its inception lacking a cohesive national ICT strategy and basic communication systems.

Pakistan's Initial Technological Strides: Beginning with the installation of rudimentary computers in
1970s government and academic institutions, marking the start of the digital journey.

Expansion of Telecommunication Infrastructure: Telecommunication services grew, paving the way for ICT
1980s development, with early computer systems and fax machines introduced within government offices.

Internet Emergence and ICT Policy Formation: In 1995, Pakistan’s connection to the internet marked a new
1990s digital era, and by 1999, a national IT policy was created to support the sector’s growth.

Formation of E-Governance and ICT Framework: The establishment of the Ministry of Information Technology
2000 highlighted the government’s commitment to digital governance, with e-government initiatives gaining momentum.

Advancing IT Education and Workforce Development: The National ICT Scholarship Program was introduced to
2002 strengthen human capital in the IT sector by offering opportunities to students from underserved areas.

Rapid IT Sector Expansion: Both public and private sectors contributed to IT growth, with an emerging software
2007 industry and a focus on improving educational technology.

Growth in Software Industry and Export Potential: The Pakistan Software Export Board launched initiatives to improve software
2014 development and certifications, boosting IT exports, though competition with regional players like India remained strong.

E-Governance, Healthcare, and IT Infrastructure Expansion: E-governance systems, telemedicine, and land revenue
2020 management projects flourished, alongside improvements in IT certifications, enhancing global competitiveness.

ICT Sector Take-Off and Future Prospects: Pakistan’s ICT sector has entered a rapid growth phase, with an
2024 emphasis on expanding digital services and infrastructure to drive economic progress.

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