Microsoft is one of the leading tech giants in the world and started its operation in Pakistan on March 7 2000. It was there for 25 years and played a big role in the countrys unpopular economy. However on 3 July 2025 the company officially exited from the region without any formal announcement.  Microsoft Exits Pakistan When Jawwad Rehman Microsoft’s founding country head in Pakistan called it ‘the end of an era’ then the news reached all. After 25 years of operations Microsoft has officially shut down its Pakistan office over political and economic instability.  While Microsoft has not given any explanation publicly according to media reports the decision was taken over Pakistans unstable economy politics and poor trade conditions. It was also due to unstable currency high taxation and limited access to imported tech hardware and there were frequent government changes. All these reasons made it difficult for companies like Microsoft to function in the country.  Why Microsoft Shuts Operations In Pakistan? The country’s FY2024 trade deficit was USD 24.4 billion with reserves falling to USD 11.5 billion in June 2025. The decision was taken over lack of trust both political and financial. Microsoft was not able to move funds and tools in and out freely became a concern for them. In 2022 Microsoft was considering expanding its presence in Pakistan. But after instability the company started thinking of Vietnam as an option. The tech giant also closed multiple support programs and stopped new partnerships in the region in the past two years. India is still a stable destination for global tech players. With countries policies stable political conditions a growing digital economy and stronger diplomatic ties its top choice for many tech giants.