Karachi: The State Bank of Pakistan (SBP) has announced a series of reforms aimed at facilitating IT exporters and freelancers, seeking to streamline export procedures, enhance documentation standards, and improve complaint resolution mechanisms.

According to Ministry of Information Technology and Telecommunication, the reforms introduced by the SBP include the elimination of the need for IT companies and freelancers to submit ‘Form R’ for each export transaction. Instead, a one-time declaration specifying the nature of services provided will be required when opening new accounts or as needed for existing customers. This change is expected to simplify the processes for many within the IT sector.

The SBP has instructed authorized dealers to tag the relevant service and purpose codes to exporters’ accounts, ensuring smooth reporting and processing of export transactions. A defined turnaround time of one working day has been set for processing both inward export receipts and outward remittances from Exporters’ Special Foreign Currency Accounts (ESFCAs).

Additionally, the SBP has standardized documentation requirements for outward remittances from ESFCAs, aiming to offer clarity and consistency across banks. Banks are also required to establish efficient internal systems for resolving complaints from IT companies and freelancers, which could enhance service quality and responsiveness.

The reforms further ease the reporting requirements for exporters and importers of services by revising ‘Form R’, the Inward Remittance Voucher (IRV), and ‘Form M’. The threshold for obtaining ‘Form R’ has been raised to amounts above $25,000, thereby providing added convenience to beneficiaries. To further promote ease of doing business, banks have been advised to digitalize these forms with auto-population functionalities.

Pakistan’s IT export sector has shown significant growth, with exports rising by 18 percent to $3.8 billion in FY25. This increase is attributed to contributions from software development, freelance earnings, and supportive government incentives.