Here’s your Saturday Pakistan tech roundup for June 13, 2026:

Startups & Funding

The Pakistani startup ecosystem got a major boost this week with news of new incubators and investments:

  • NIC Sialkot Launches: Ignite (under Ministry of IT & Telecom) partnered with Mobilink Bank to establish the National Incubation Center in Sialkot. This is Pakistan’s 8th NIC, expanding beyond major metros to support local entrepreneurs. The center will incubate up to 25 startups annually, focusing on sports technology, healthcare/surgical tech, manufacturing innovation, e-commerce, and AI. Applications for Cohort 1 are now open at nicsialkot.com.

  • Myco Holdings Leads BuyPass Pre-Seed: Myco Holdings has led a pre-seed round in BuyPass, a Pakistani video-commerce startup. This signals continued investor interest in Pakistan’s digital commerce space.

  • Telenor Eyes Easypaisa Sale: Reports emerged that Telenor is looking to sell Easypaisa, Pakistan’s leading mobile wallet, as part of a broader Pakistan exit strategy. This could reshape the fintech landscape.

Tech team collaboration

IT Exports & Economy

The IT sector continues to be a bright spot in Pakistan’s economy:

  • Record $3.4 Billion in Exports: Pakistan’s ICT exports hit a record $3.388 billion in the first nine months of FY2025-26, marking a 19.7% increase year-over-year. The trade surplus in IT and IT-enabled services stood at $2.911 billion.

  • Freelancer Remittances at $856 Million: The freelance economy contributed $856.3 million in remittances, highlighting the growing role of Pakistan’s digital workforce in earning foreign exchange.

  • $7.3 Billion Target for 2026-27: The government has set an ambitious target of $7.3 billion in IT and IT-enabled services exports for the upcoming fiscal year, backed by the “URAAN Pakistan” initiative.

  • Structural Challenges Remain: Despite positive numbers, experts warn that growth is concentrated in outsourcing and freelance services rather than high-value product development. Much work remains to transition from a “low-value trap” to innovation-driven industries.

Government Initiatives

The federal budget brought significant developments for the tech sector:

  • Tax Benefits Extended to 2029: The government has extended the preferential 0.25% tax rate on IT exports under the Final Tax Regime until June 30, 2029. This provides crucial policy certainty for IT companies and freelancers.

  • $1 Billion National AI Program: The National Artificial Intelligence Ecosystem Development Program (NAIEDP) is a flagship $1 billion initiative to accelerate Pakistan’s AI transformation. It’s part of a broader vision targeting $10 billion in annual IT exports (and $15 billion by 2030).

  • Rs 19.58 Billion PSDP Allocation: The government allocated over Rs 19.58 billion for IT and digital transformation projects under the Public Sector Development Programme.

  • PM Protects IT Budget: Prime Minister Shehbaz Sharif ordered no cuts to the IT Ministry’s development budget, ensuring Digital Pakistan projects continue uninterrupted.

  • Cybersecurity for Digital Pakistan: Phase I of this program becomes operational this year, including digital forensic labs and integrated Security Operations Centers.

Telecom & Connectivity

Pakistan is officially entering the 5G era:

  • 5G Services in 22 Cities: PTA has launched 5G services across 22 cities through pilot deployments. Jazz is eyeing a mid-2026 commercial rollout.

  • $509.6 Million from Spectrum Auction: The March 2026 5G spectrum auction generated significant revenue. Total telecom sector revenues reached Rs837 billion.

  • 161 Million Broadband Subscriptions: Broadband penetration has reached 63%, with total telecom subscriptions approaching 207 million (82.6% teledensity).

  • National Fiberization Policy: The government plans to expand fiber-to-the-home connectivity and strengthen the national telecom backbone.

E-commerce & FinTech

Digital commerce continues to evolve:

  • Yeylo Launches in JazzCash: A new “Pay-in-3” transparent shopping option is now available through JazzCash, making BNPL more accessible.

  • Government Consults with Daraz & Alibaba: Pre-budget consultations included major e-commerce players, with calls for improved digital commerce policies.

  • Visa Study: 82% Shop with AI: A new study reveals 82% of Pakistani consumers use AI for shopping, though trust at checkout remains a key concern.

  • New Withholding Tax on Social Media Income: Content creators will now face tax deductions on earnings from YouTube, Instagram, and TikTok, sparking concerns from the creator community.

Events & Community

Upcoming events to watch:

  • SOCByte Phishing Hackathon 2026: A cybersecurity competition launching in Karachi to train talent through simulation-based challenges.

  • Kirothon 2026: Presented by AWS Community Pakistan, this hackathon focuses on building with Kiro IDE (AWS’s agentic AI development environment).

  • Uraan AI Techathon 1.0: Pakistan’s first national AI techathon under Indus AI Week 2026, organized by the Ministry of Planning.

  • SEE Pakistan WSC26: Pakistan’s biggest entrepreneurial expo returns to Lahore Expo Center.

  • MAKER’S ARENA 2.0: A 24-hour hard-tech hackathon hosted by AIC RAISE, focusing on physical hardware builds rather than just software.

Key Takeaway

Pakistan’s tech sector is riding high with record exports ($3.4B), ambitious targets ($7.3B for FY2027), and major policy wins like the extended 0.25% tax rate through 2029. The launch of NIC Sialkot shows the ecosystem is expanding beyond Karachi, Lahore, and Islamabad. However, the challenge remains moving from low-margin outsourcing to high-value product development. With 5G rolling out, a $1B AI initiative, and expanding incubators, the foundations are being laid—but execution will determine whether Pakistan can become a regional tech hub.

Images courtesy of Unsplash. Data compiled from ProPakistani, The Express Tribune, TechJuice, Nukta, and official government sources.