This study to examines the factors that can affect the Exports of Pakistan, by paying particular attention to letter of credit financing of Islamic banks in Pakistan and exchange rate. Sample data of Islamic listed Banks is selected from last twelve years i.e., 2010 to 2022 with 975 observations. Study measure exports performance using exports figures of Pakistan as the proxy for Export performance while external factors namely letter of credit financing of Islamic banks and exchange rate used as an influencing factor. Applying panel analysis, the results provide positive association Pakistan’s Export with Islamic banks letter of credit financing and exchange rate, indicating that easy availability of letter of credit financing and favorable exchange rate can help increase Pakistan’s exports. Results of this study are helpful for the Policy managers, especially those who are aiming to increase exports and foreign exchange through it and managers to expand their understanding of the influential factors that affect the performance of Exports.