Govt introduces performance-based rebate scheme to boost exports

According to Mettis Global, the government of Pakistan has rolled out a new rebate mechanism for exporters of goods and services, applicable from July 1, 2026. The incentive rewards companies whose exports rise over the previous fiscal year, with the payout tied to the extra export value they generate. Exporters that grow by up to 10% receive 1% of incremental exports, while those growing beyond 10% earn 2%.

Firms whose annual exports fall short of, or merely match, the prior year's total will not qualify at all. Payments begin on a quarterly basis, and a company whose shipments in any quarter beat its average quarterly volume from the previous year receives 75% of the eligible amount in advance. The balance is settled after the fiscal year ends, based on the full-year record.

Exporters that keep growth positive across the full year will collect the final quarter's rebate plus any unpaid balance from the first three quarters. If annual exports stay at or below the earlier level, provisional payments already made will be clawed back. Designated banks will recover these sums and pass them to the State Bank of Pakistan within 15 days of year-end, and they have also received claim forms and guidance to share with clients.