PM urges promotion of IT exports

Last year’s IT exports stood at $2.6b, govt eying $5b in exports this year

ISLAMABAD:

Prime Minister Shehbaz Sharif on Friday expressed disappointment and serious concern over low IT exports and directed the government to take measures on a priority basis to tap its full potential.

Sharif held a meeting regarding the promotion of exports in the field of information technology.

It was informed during the meeting that the United States (US) has become the top tech destination for Pakistani freelancers and tech entrepreneurs with 57% share of total IT exports.

Last year’s IT exports stood at $2.6 billion and the government is now eying $5 billion in exports, this year.

Freelancers and tech entrepreneurs have called the government to take urgent measures to facilitate bank loans, payment systems and offer health insurance at premium rates to tap the full potential of IT exports.

They say that the government can achieve the target through internet penetration and by offering incentives like health insurance, easy loans and facilitating banking payment systems.

While talking to the Express Tribune, Hisham Sardar, a freelancer, trainer and tech entrepreneur emphasised that, “Internet penetration is a key requirement to enhance IT exports”.

He explained that the increase in remittance through freelancing was linked with two things: ‘greater levels of internet penetration and awareness’.

Sarwar underscored that “Major parts of Balochistan, Gilgit-Baltistan (GB) and Azad Jammu and Kashmir (AJK) were deprived and there was limited internet penetration”.

One percent tax is deducted for filers at source and two percent for non-filers when freelancers receive payments in banks.

“Freelancers have to work at night and the government should introduce a digital system to facilitate them,” he suggested.

Sarwar remarked that freelancers compromise on their health and the government should give insurance on premium packages.

Another freelancer trainer and tech entrepreneur, Tanveer Nandla said that “Freelancers should be given loans to expand their business. In addition, the government should give them special health cards”.

During the meeting, the prime minister underlined that Pakistan has enormous potential in the field of IT which needs to be fully exploited.

“As compared to the amount of talent and skill in Pakistan regarding IT, the IT exports from Pakistan are quite low and should be improved on a priority basis,” Sharif noted.

He further proposed that the concerned ministers and officers should hold a detailed meeting with IT exporters and take steps to solve all their problems on a priority basis.

Sharif also called for improving communication between universities, academia and the IT industry.

The prime minister further stated that exporters who have played a role in the substantial increase in IT exports will be appreciated at the government level.

In the briefing, it was further informed that Pakistan has the second largest freelance workforce in the world.

The meeting was told that for the inclusion of new people in the IT industry, two-year associate degree programs in IT are being considered in universities.

“Artificial intelligence(AI), cyber technology, block chain and cloud technology are also part of the government’s priorities,” the meeting was informed.

To promote foreign investment in the IT sector in Pakistan, the brand of ‘Tech Destination Pakistan’ is being introduced all over the world.

The meeting was told that the Federal Board of Revenue (FBR) has established help desks in Karachi, Lahore and Islamabad for the convenience of IT exporters, working under the leadership of the commissioner for Inland Revenue level officers. All steps are being taken to provide facilities to IT exporters.

Published in The Express Tribune, December 24^th, 2022.

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