Dr. Umar Saif announces that Pakistan allows IT companies to keep 50% of their revenue in US dollars

The Caretaker Information Technology (IT) Minister, Dr. Umar Saif, has announced that IT companies will now have the privilege of retaining 50% of their earnings in US dollars, which they can utilize without constraints.

In an interview with a private TV channel, Dr. Saif highlighted the challenges associated with bringing dollars into Pakistan and how this has prompted many IT companies to establish dollar accounts abroad. He pointed out that Pakistan’s current IT export volume stands at $2.6 billion, but it should ideally reach $3.5 to $4 billion.

Dr. Saif revealed that this decision had been under discussion for a considerable period and was recently formalized during a meeting of the Apex Committee. As per this new policy, Pakistani IT companies are now allowed to maintain offices within Pakistan and retain 50% of their revenue in dollar form while having the freedom to use these funds as needed.

He emphasized that all relevant stakeholders were consulted and involved in the decision-making process over the past 4 to 5 weeks. Previously, IT companies were limited to retaining only 35% of their revenue in dollars, leading many to open foreign accounts.

Dr. Saif clarified that going forward, there would be no restrictions on any Pakistani IT company regarding the utilization of 50% of their revenue in dollars.