IT Companies Moving to Turkey and UAE Due to Payment Issues, Says FCCI President
Information Technology (IT) companies in Pakistan are moving their operations to Turkey and the United Arab Emirates (UAE). The reason is the lack of an international payment gateway. This issue is causing serious problems for the IT sector. It is also affecting the country’s IT export remittances.
The President of the Faisalabad Chamber of Commerce and Industry (FCCI) raised the concern. He shared this while briefing the Senate Standing Committee on Finance and Revenue. The meeting was held on Wednesday and was chaired by Senator Saleem Mandviwalla.
30 IT Companies Moving to Turkey and UAE Due to Payment Issues, Says FCCI President
The main topic of the meeting was pre-budget consultations. The committee invited input from various stakeholders. These included the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), other chambers, and business associations.
During the briefing, the FCCI President said that 30 IT companies from Faisalabad have already shifted to Turkey and the UAE. He explained that these companies are facing major difficulties. The biggest problem is the non-availability of a payment gateway for international transactions. Without this facility, companies cannot receive payments from foreign clients easily.
He warned that this issue would directly affect Pakistan’s IT exports. When companies move abroad, the foreign income they generate does not come to Pakistan. This leads to a loss in export earnings.
The FCCI President also pointed out that the country is currently celebrating $2.4 billion in IT exports. However, he said the potential is much greater. He believes Pakistan can achieve $10 billion in exports. If the problems are addressed, this figure could even reach $20 billion.
He urged the government to take action in the upcoming budget. He recommended special steps to support the IT sector. These should include incentives and facilities that help companies grow and stay in Pakistan. Solving the payment gateway issue, he said, should be a top priority.
See Also: IT Industry Leaders Urge Government to Cut Taxes and Support Growth
He stressed that with the right support, Pakistan’s IT industry can play a much bigger role in the economy. Boosting exports will bring in valuable foreign exchange and create more jobs for young professionals.
How Brutally It Will Affect Our Economy?
The shift of IT companies from Pakistan to countries like Turkey and the UAE is having a serious impact on the national economy. When companies move their operations abroad, the foreign exchange they generate does not flow into Pakistan. This reduces the country’s IT export remittances, which are a key source of income. It also weakens investor confidence and slows the growth of the local tech industry. Skilled professionals may also follow these companies, leading to brain drain. Moreover, it reduces job opportunities for youth and limits innovation within the country. If this trend continues, Pakistan could miss out on reaching its true IT export potential, which experts believe could be as high as $20 billion. Addressing these issues quickly is essential to keep the IT sector strong and growing.
