The 2024 Economic Survey of Pakistan highlights substantial growth opportunities in the IT and telecommunication sectors, primarily attributed to the China-Pakistan digital corridor. The Information Technology Industry Joint Working Group (JWP) under the China-Pakistan Economic Corridor (CPEC) is focused on improving and developing the ICT infrastructure in both countries. Their efforts aim to establish a digital corridor, enhance investment cooperation in the digital economy, and support the development of new digital technologies and applications.
Noman Said, CEO of SI Global Solutions, shared his perspective with The Express Tribune, emphasizing that this initiative, part of CPEC, intends to enhance digital connectivity through improved fibre optic networks, data centres, and cloud computing capabilities. These advancements are expected to attract significant Chinese investment, stimulate local startups, create job opportunities, and position Pakistan as a regional technology hub.
Said highlighted the IT sector’s potential for growth in software development and IT services, driven by competitive labor costs and a skilled workforce. The expansion of 4G and the upcoming introduction of 5G networks further enhance the telecommunications sector’s promising future in Pakistan.
He underscored the importance of a long-term policy framework to sustain and maximize these opportunities. The Special Investment Facilitation Council (SIFC) plays a commendable role in this regard by streamlining regulatory processes and creating a business-friendly environment, particularly through initiatives like the one-window operation, which simplifies administrative procedures for investors.
Said also noted the strategic focus on digital transformation and supportive policies, which are expected to drive Pakistan’s economic growth and technological advancement. Finance Minister Muhammad Aurangzeb, in a recent press conference, emphasized the need for growth in two key sectors, agriculture and IT, where local initiatives can achieve substantial growth.
The survey suggests that investing in Pakistan’s IT and telecom sectors can have a significant and wide-ranging impact. Leveraging technology can boost economic growth, generate employment, increase foreign exchange earnings, improve productivity across industries, promote innovation and entrepreneurship, and enhance global competitiveness. Strategic investments in infrastructure, human capital development, and a supportive environment for technology-based businesses are crucial for unlocking the full potential of Pakistan’s IT and telecom sectors, leading to sustainable economic growth and prosperity.
The survey indicates a profound transformation in Pakistan’s digital landscape, presenting new opportunities for growth, development, and prosperity.
According to the Pakistan Software Export Board (PSEB), the ICT sector in Pakistan has experienced substantial growth, with over 20,000 IT and ITeS companies registered with the Securities and Exchange Commission of Pakistan (SECP). ICT export remittances have increased significantly, reaching $2.283 billion during FY2024 (July-March), compared to $1.944 billion the previous year. In March 2024 alone, ICT services export remittances rose to $306 million, marking a 36% increase from March 2023. The IT and ITeS industry achieved a trade surplus of $1.996 billion, the highest among all services, while the overall services sector recorded a trade deficit.
Pakistan’s ICT industry exports to 170 countries and territories, with the USA, UK, UAE, Ireland, Singapore, Canada, China, Saudi Arabia, Germany, Norway, Sweden, Australia, Switzerland, Japan, and Malaysia being the top 15 export destinations.
