Pakistan faces grave economic losses of $1.62 billion from internet disruptions, with IT associations urging the government to expedite 5G implementation and tackle slow speeds. A report showed that political events contributed to unprecedented connectivity issues that hindered economic growth, particularly in the IT sector. Experts call for urgent policy reforms to facilitate better internet access for freelancers and the IT industry, essential for competing globally.
Pakistan is currently grappling with substantial economic setbacks amounting to $1.62 billion due to widespread internet disruptions, as reported by the global internet monitoring organization Top10VPN.com. This figure marks the highest economic toll from internet outages worldwide in 2024, surpassing the losses incurred by nations afflicted by conflict such as Sudan and Myanmar. The disruptions have predominantly arisen in connection with political occurrences, including elections and protests, leading to nearly 9,735 hours of connectivity issues affecting over 82 million users in the country.
Industry experts and IT associations in Pakistan have urged the government to accelerate the rollout of 5G technology and address the persistent issue of sluggish internet speeds. The Pakistan Software Houses Association (P@SHA) has indicated that the IT sector could face financial losses of up to $150 million annually due to these infrastructural inadequacies. P@SHA Chairman Sajjad Mustafa Syed emphasized the gravity of the situation, stating, “Pakistan suffers a loss of more than one million dollars per hour on account of internet shutdowns.”
The report unveiled that social media platforms, particularly X (formerly Twitter), experienced the most significant disruption throughout the year, largely due to prolonged blockades in Pakistan and other affected nations. Furthermore, it was noted that internet restrictions were a predominant challenge in Asia, with Pakistan ranking alongside Myanmar and India among the top countries facing connectivity issues.
Despite witnessing positive growth in IT exports, which reached $3.2 billion in the 2023-24 fiscal year, experts caution that ongoing internet disruptions could hinder Pakistan’s ambitions of achieving $15 billion in IT export revenue for the current fiscal period. Tufail Ahmed Khan, President of the Pakistan Freelancers Association (PAFLA), highlighted the adverse effects of slow internet on the country’s substantial freelance workforce, comprising 2.37 million individuals.
Khan has recognized the potential benefits of the National Fiberization Policy introduced in November 2024, aimed at enhancing broadband access and improving internet speeds. He advocated for more internet-friendly policies that would facilitate freelancers in attracting foreign remittances, thus reducing reliance on governmental employment initiatives. Industry leaders are now calling for an urgent modernization of Pakistan’s digital infrastructure to support economic growth and maintain the competitive edge of its IT sector on a global scale.
In recent years, Pakistan’s internet infrastructure has faced numerous challenges, particularly during politically charged periods such as elections and protests. These events often result in government-enforced internet shutdowns or throttling, which not only disrupt daily communications but also impose significant economic costs. The situation has drawn attention from various IT associations and industry experts, who argue for a more robust digital strategy, including the fast-tracking of 5G technology and the optimization of existing internet resources.
To conclude, Pakistan’s internet disruptions have led to unprecedented economic losses, underscoring the urgency for government action to improve digital infrastructure. As the call for the swift implementation of 5G services intensifies, industry leaders stress the necessity of formulating policies that favor internet accessibility and speed. Such reforms are vital for supporting freelancers and the broader IT sector, which plays a crucial role in the country’s economic future. Without these improvements, Pakistan risks compromising its potential for growth in the global IT landscape.
Original Source: profit.pakistantoday.com.pk
