SPECIAL TECHNOLOGY

ZONES AUTHORITY

We build knowledge ecosystems for an entrepreneurial,

innovative, and tech-driven Pakistan.
TECH ZONES AROUND THE WORLD

TUSPark Silicon Valley Samsung Digital City Research Triangle Park

Teknopark Istanbul Shenzen Tech Zone Bangalore Technopark LG Science Park

TRIPLE HELIX MODEL OF INNOVATION

The Model The Manifestation

Hi-Tech Production

Technology Park
University
(Zone Developer)

Ecosystem

Recreational
and
Commercial
Government Services

Technology innovation and commercialization An ecosystem where the development, promotion,

thrives when industry, academia, and and proliferation of technologies is catalyzed by
government synergize their efforts special incentives offered by government.
TOP TECH COMPANIES – STARTED IN ZONES
Annual Revenues
(2021)

Apple Inc. Google Inc. Intel Hewlett-Packard Cisco

$365 Billion $257 Billion $79 Billion $63 Billion $50 Billion

Lenovo Baidu Tencent Xiaomi

$94 Billion $60 Billion $19 Billion $86 Billion $51 Billion
SPECIAL TECHNOLOGY ZONES AUTHORITY

Mandated by the Act of Parliament

(6th October 2021)
Our Mandate

Autonomous Body Established under Cabinet • Approve, Notify, and License

Division Zones & Zone Entities
• Develop independent Rules
and Regulations for Special
Prime Minister as the President of STZA's Technology Zones
Board of Governors (BoG)
• Provide fiscal and monetary
incentives for the period of
Board of Governors Composition; 10 years to Zone Entities
Government & International Private Sector Leaders • Enable development of
Pakistan’s Tech Ecosystem

Facilitator & Regulator for public, private and public-

private technology zones in all parts of Pakistan
STZA VISION & MISSION

VISION

“ Enabling inclusive socio-economic development through

knowledge & technology driven growth. ”

MISSION

“ Develop the national innovation and entrepreneurship

ecosystem through setting up world-class technology
destinations (STZs) across Pakistan. ”
STZA STRATEGIC OBJECTIVES

Investments
Technology Transfer
(FDI and Local)

Human Capital
Research & Development
Development

Tech Exports &

Job Creation
Import Substitution
STZA LICENCE TYPES

Zone Enterprises are entities licensed to operate inside STZs

and are mandated to foster innovation, entrepreneurship, R&D,
and create tech jobs.
Examples: Tech Companies (48 Areas), R&D Units, Advanced Production Units,
BPOs, Startups & SMEs, Universities, VC Firms, etc.

Zone Developers are licensed companies responsible for

developing, operating, and managing infrastructure inside a STZ.
Examples: Science & Technology Parks, Software Technology Parks, Co-
working spaces, etc.
STZA NOTIFIED ZONES

Rawalpindi Haripur Islamabad Faisalabad Karachi

20 20 New State Life University of NASTP -

NASTP - ALPHA Acres, PAF-IAST Acres, 300,000 38.29 279,000
Tower Agriculture SIERRA
400,000 140,000 SFT Acres SFT
SFT SFT

Karachi Islamabad Haripur Lahore

Readily Available
Infrastructure
(Operational)

Infrastructure Under
Pakistan Maritime 1 Acre, Islamabad Pakistan Digital Lahore
S&T Park Technopolis 140 City
11
Knowledge Park
800 Construction
350,000 Acres Acres
Acres
SFT

9
STZA DIGITAL ONE-WINDOW

SECURITIES AND
FEDERAL BOARD EXCHANGE COMMISSION
OF REVENUE ONE WINDOW OF PAKISTAN
PORTAL

PROVINCIAL &
MUNICIPAL BOARD OF
BODIES INVESTMENT

MINISTRY OF NATIONAL DATABASE AND

FOREIGN AFFAIRS REGISTRATION PORTAL

STATE BANK OF
PAKISTAN

With the One-Window Portal, STZA provides an automated single-entry centralized hub for
paperless end-to-end onboarding process
STZA INCENTIVES FOR PUBLIC & PRIVATE SECTORS

Exemptions* ForEx Bank Account*

✓ Special ForEx Regs by SBP

✓ Profits & Gains - Creation of Special ForEx A/C
✓ Turnover Tax/MAT - Any sum from abroad can be
✓ Dividends & long-term capital credited to the A/C
gains of Venture Capital funds - Amount in A/C can be used
✓ Customs Duty, Sales Tax, & WHT for legitimate payments abroad
on capital goods at time of import - Local payments can be made
✓ More (Coming Soon!) in PKR but ForEx cannot be
withdrawn

❑ 10 years from date of license issuance ❑ 10 years from date of license issuance
❑ Sales Tax (goods, services) and Property Tax ❑ In case sufficient funds are not available in ForEx,
❑ Other approvals can be sought from Federal Govt. the same can be from inter-bank market.
STZA INCENTIVES (CURRENTLY OPERATIONAL)
Levy Reference of Laws Nature of Exemption / Tax Concession
Clause 126EA of Part 1 of 2nd Schedule to
Income Tax Exemption from Income Taxes on Profit and Gains
the income Tax Ordinance,2001

Clause 11A (xliii) of Part IV of 2nd Schedule to

Income Tax Exemption from Minimum Tax on turnover @ 1.25%
the income Tax Ordinance, 2001
Exemption from advance collection of tax under section
Clause 60DA of Part IV of 2nd Schedule to the
Income Tax 148 of the Income Tax Ordinance ,2001on import of capital
income Tax Ordinance, 2001
equipment
Dividend income and long-term capital gains of any
Clause 103D of Part I of 2 2nd Schedule to
Income Tax venture capital fund from investments in ZEs as defined in
the income Tax Ordinance, 2001
STZA Act 2021
Clause 4(ii) at PCT Code 9917 of Chapter 1 to Exemption from Customs Duties on import of capital
Custom Duty 99 of the 1st Schedule to the Customs goods including plant, machinery, hardware, equipment,
Act,1969 and software as defined in STZA Act 2021
Exemption from Sales Tax on import of plant, machinery,
Clause 161 of Table-1 of the 6th Schedule to
Sales Tax equipment, and raw material for consumption of these items
the Sales Tax Act,1990
within STZs
Special Foreign Exchange Account as per Special Foreign Exchange Regulations for Special Technology
ForEx Account Zones (STZs) issued by State Bank of Pakistan on Dec 11, 2020 (Paragraph 9A of Chapter 6 of Foreign
Exchange Manual of SBP).
STZA APPLICATION REQUIREMENTS FOR ZES
→ Application Letter
→ Company Profile (Company Reg Docs, List of Dirs / Partners, NTN etc)
→ Audited Financial Statements for last 03x Fiscal Years
→ Financial Proposal
→ Technical Proposal
→ Business Plan
→ Authorization letter (PoC Nomination)
→ Proof of Paid Application Fee
→ Master Plan / Maps / Drawings (For ZE PBF)
STZA APPLICATION / LICENSE PROCESS

STZ Approvals Monitoring &

One Window Authority License
Committee Committee Evaluation

Decision Issuance of License Annual

Evaluation:
• Approval License after Award Reports
Arrival of • Technical &
• Return STZ approval of
Application • Financial
• Defer Approvals Incentives Audited
• Legal
• Reject Committee Enablement Financials
THANK YOU