Source: https://rivet.global/blog/pakistan-it-exporters-esfca-retention-sbp-rules
Published: 2026-10-13 · Updated: 2026-10-13 · By Rashidatou K.

# Pakistani IT exporters and freelancers: ESFCA retention and the SBP's latest rules

Pakistani IT companies and freelancers can keep part of export proceeds in foreign currency accounts. The 50 percent limit, recent SBP changes, what to check.

## Key takeaways

- IT companies and freelancers in Pakistan can retain the greater of $5,000 a month or 50 percent of export proceeds in Exporters' Special Foreign Currency Accounts (ESFCAs).
- The 50 percent limit has applied since October 2023; earlier it was 35 percent.
- The SBP raised the reporting threshold for IT export proceeds and eased other requirements in 2025 and 2026.
- Export proceeds come into Pakistan through banks; ESFCA balances can pay for permitted current account expenses abroad.

A Lahore software house bills a Texas client $18,500 a month. Each payment arrives at its Pakistani bank. Half goes into its Exporters' Special Foreign Currency Account, where it stays in dollars to pay for cloud services, software licences and a conference in Dubai. The rest is converted to rupees for salaries.

## The ESFCA

IT companies and freelancers in Pakistan can open an Exporters' Special Foreign Currency Account (ESFCA) alongside their rupee account. In October 2023 the State Bank of Pakistan raised the share they may retain to the greater of $5,000 a month or 50 percent of export proceeds, from 35 percent.

ESFCA balances can be used for permitted current account payments abroad, such as software, hosting, subscriptions and business travel, without prior SBP approval, subject to the bank's checks. The SBP also set a short turnaround for banks to process inward receipts and outward payments from these accounts.

## 2025 and 2026 changes

The SBP continued easing rules for the sector:

- it raised the threshold below which IT companies and freelancers need not submit certain export documents, reported at $25,000,
- it simplified onboarding and utilisation rules for freelancer and exporter accounts.

Read the latest Foreign Exchange circulars, or ask your bank, before relying on any threshold.

## Proceeds come home

Pakistan's rules require export proceeds to be brought into Pakistan through the banking system. The ESFCA lets you keep part in dollars, in Pakistan. Holding proceeds in an account abroad is a different matter; check with your bank.

## Getting the receipt classified

Ask clients to state the purpose clearly, and keep contracts and invoices. Correct purpose codes ensure the receipt counts as IT export proceeds, which matters for the retention limit and for tax.

## Paying into Pakistan: the local rail

| What | Detail |
|---|---|
| Local rail | Raast |
| Run by | State Bank of Pakistan |
| Settlement | Seconds, 24/7 |
| Published fee | Free for person-to-person transfers |

Source: [State Bank of Pakistan: Raast](https://www.sbp.org.pk/dfs/Raast.html). Checked when this guide was last updated; the scheme's own page has the current figures.

## Where Rivet fits

Rivet opens business accounts for registered companies after verification. A Pakistan-registered company must bring export proceeds into Pakistan under SBP rules, so check with your bank before receiving funds abroad. Pakistani founders running companies registered elsewhere, such as a US LLC, can use a Rivet business account with US account details on every plan and payouts to 120+ countries, including Pakistan. Rivet is not a bank; regulated partner institutions hold the funds.

See [Payoneer alternatives in Pakistan, India and Bangladesh](/blog/payoneer-alternatives-pakistan-india-bangladesh).

## Questions

### How much of their export earnings can Pakistani IT exporters keep in dollars?

The greater of $5,000 a month or 50 percent of export proceeds, in an ESFCA opened alongside a rupee account.

### What can ESFCA balances be used for?

Permitted current account payments abroad, such as software, subscriptions and business expenses, without prior SBP approval, subject to the bank's checks.

### Did the SBP change reporting rules recently?

Yes. In 2025 and 2026 the SBP raised the threshold below which IT companies and freelancers need not submit certain export documentation, and simplified other steps. Check the current circular.

### Can a Pakistani company keep proceeds in an account abroad?

Pakistan's foreign exchange rules require export proceeds to be brought into Pakistan through banks. Check with your bank before holding funds abroad.