Pakistan’s services exports grew 18.27% year-on-year to $745.52 million in July, the first month of FY26, driven mainly by strong performance in telecommunication, computer, and information services, official data showed on Thursday. This marks an increase from $630.38 million in the same month last year, while month-on-month growth was 4.47%.
In rupee terms, services exports rose 20.74% to Rs211.89 billion from Rs175.49 billion in July FY25, reflecting sustained foreign currency inflows from the sector. Telecommunication, computer, and information services led the growth with a 23.77% increase to $354 million, up from $286 million a year earlier, according to the State Bank of Pakistan.
Other business services increased 17.96% to $151 million, and transport services exports grew 21.54% to $79 million. Travel services, however, fell 20.33% to $47 million from $59 million, reflecting reduced outbound activity.
Services imports edged down 0.61% to $871.44 million, mainly due to lower spending on transport and business services. Transport imports declined 2.97% to $391 million, while travel services imports rose 16% to $210 million.
As a result, the services trade deficit narrowed sharply by 48.91% to $125.92 million from $246.45 million in July FY25. Analysts expect IT and digital services to remain a key contributor to foreign exchange earnings in FY26 amid ongoing volatility in goods exports.
