Report by Engineering Post
The information technology and telecommunication sector continued to strengthen Pakistan’s transition toward a digitally enabled, innovation-driven, and knowledge-based economy through sustained progress in connectivity, exports, digital governance, infrastructure development, and human capital formation.
During FY 2026 the main focused areas were artificial intelligence (AI), broadband expansion, 5G readiness, cyber security, and innovation-led growth.
The Information Technology (IT) recorded robust growth during FY 2026. Information and Communication Technology (ICT) export remittances increased by 19.7 percent to US $ 3.38 billion during July -March FY 2026 compared to US $ 2.853 billion during the corresponding period last year.
Technology Freelance exports surged by as much as 51 percent to U S $ 856.3 million, reflecting the growing strength of Pakistan’s freelance economy. Pakistan Software Export Board (PSEB) actively promoted the country’s IT industry through participation in 20 international technology events in different parts of the globe, which resulted in 4228 qualified Business-to-Business (B2B) leads and reported business worth US $ 73.9 million. PSEB also expanded Software Technology Parks (STPs), managing more than 50 STPs nationwide facilitating more than 350 IT and IT-enabled services (ITeS0 companies and continued work on major IT Parks projects in Islamabad and Karachi.
Human capital development also remained a major focus area. Various programs under Pakistan Software Export Board (PSEB) and Ignite supported AI training, semiconductor design, freelancing, startup incubation, and advanced digital skills. DigiSkills.pk conducted over 5.14 million training during July-March 2026, while freelancers trained under the Program earned approximately US $ 1.65 billion. The federal government had also approved Pakistan’s Artificial Intelligence Policy 2025 for accelerating AI adoption, innovation, skills development, and digital transformation across key sectors of the economy.
The telecommunication sector demonstrated strong performance during FY 2026. Total telecommunication subscriptions reached 207.9 million, while broadband subscribers also increased to 161 million by March 2026.
Telecommunication (Telecom) revenues reached Rs 837 billion during the period under report while the sector also contributed Rs 285 billion to the national exchequer. Telecom investment amounted to US $ 567 million during the period under report here. Pakistan achieved major milestones in digital infrastructure and regulatory reforms.
Pakistan Telecommunication Authority (PTA) conducted the 5G spectrum auction in March 2026, generating approximately US $ 509.6 million through the auction of 480 MHz spectrum across multiple bands.
PTA also retained its G5 Regulator Advanced Level by the International Telecommunication Union (ITU). reflecting Pakistan’s progress in regulatory governance and digital transformation. Additionally, adoption of WI-FI 7, advancement of the National Fiberization Plan, satellite communication licensing initiatives, and strengthening cyber security frameworks had also further enhanced Pakistan’s digital ecosystem.
