Pakistan’s Service Exports Grow 6% to $5.46 Billion in FY25
Pakistan’s service exports jumped by 6.04% in the eight months of the fiscal year 2025 (FY25) at $5.46 billion as compared to last year’s equivalent period of $5.15 billion.
The expansion in service exports was primarily fueled by telecommunications, computers, and information services. From February 2024, the nation’s service exports have been growing steadily, although in August 2024, there was a 6.50% decline.
In rupee terms, service exports increased by 3.50% to Rs 1.519 trillion in the first eight months of FY25 compared to Rs 1.468 trillion in the corresponding months of last year, based on data published by the Pakistan Bureau of Statistics.
Growth in Key Sectors
In July- February FY25, service exports amounted to $709.96 million in February 2025, representing an increase of 5% over $676.17 million in February 2024. The most significant growth was due to the exports of telecommunications, computers, and information services, which amounted to $2.482 billion in July- February FY25, up from $1.978 billion last year, representing an increase of 25.48%.
Moreover, the export of other business services increased by 1.42% to $1.073 billion during the initial eight months of FY25. Yet, the export of transport services decreased by 6.50% to $618 million, while that of travel services declined by 2.74% to $496 million.
Government’s IT Export Target
The government has set an ambitious target of obtaining $15 billion in IT exports in five years to increase the country’s export service sector.
Increase in Service Imports
Conversely, the services import rose by 32.70% during February 2025 to $1.013 billion from $763.42 million in February last year. The services imports during the seven months of July- February FY25 amounted to $7.709 billion, an increase of 12.03% from $6.881 billion during the same period last year.
This increase is mainly due to higher costs in travel and transport services. Imports of transport services increased by 9.36%, standing at $3.386 billion in FY25, and travel services by 14.77%, standing at $1.662 billion.
Trade Deficit in Services
Pakistan’s trade deficit in services also increased by 29.85% to $2.25 billion during the July- February FY25 compared to $1.73 billion during the same period last year. In February 2025, the trade deficit increased steeply by 247.37% to $303.06 million compared to $87.25 million during February 2024.
