Amir Saeed

Pakistan's Information Technology and Telecommunication (IT&T) sector has emerged as a significant driver of economic growth, innovation, and inclusive development. The sector's remarkable performance is attributed to sustained investments, robust policy support, and visionary approach of ‘Digital Pakistan’. This comprehensive digital transformation initiative is unlocking new opportunities for economic growth, innovation, and development across various sectors. Talking to WealthPK, Babar Majid, Chief Executive Officer of National Information Technology Board (NITB), said the China-Pakistan Digital Corridor and investments in the digital economy, along with the Joint Working Group (JWG), were fostering innovation, boosting investment cooperation, and promoting the deployment of new digital technologies. “Pakistan's attractiveness as an IT&IT services (ITeS) outsourcing destination is evident from its top ranking in Kearney's 2023 Global Services Location Index,’’ he said.

The development of Pakistan's ICT sector is impressive, with over 20,000 registered companies, comprising both domestic and export-oriented enterprises. During FY2024 (July-March), the ICT sector exports reached an all-time high of $2.283 billion, contributing significantly to the country's services exports. Pakistan-based freelancers also made a substantial contribution to the economy through remittances of $350.15 million during the same period. The NITB chief executive officer highlighted that the Pakistan Software Export Board (PSEB) had launched its first women software technology park at the Women's University of Bagh, AJK in FY2024, empowering women entrepreneurs in the tech industry. The National Incubation Centers (NICs) have incubated over 1,480 startups, creating over 128,000 jobs, receiving investments of Rs23 billion, and generating combined revenue of more than Rs16 billion.

Over 2,800 women entrepreneurs have been empowered through this program. The telecom sector has also shown resilience, expanding its services and generating revenues estimated at Rs735 billion during FY 2024 (July-March). The total telecom subscriptions (Mobile and Fixed) reached 194 million, with a total teledensity of 80.7 percent in the country. The sector contributed Rs213 billion directly to the GDP during the same period. He further explained that the IT&T sector was enabling digital transformation in various sectors, including finance, healthcare, education, agriculture, and government services. This transformation is leading to improved service delivery, greater accessibility, and efficiency gains, driving economic development. “In conclusion, the IT&T sector is a key driver of economic growth and digital transformation, and sustained investments and policy support are essential to fully leverage its potential.’’

Talking to WealthPK, Anees Amin, President of Gilgit Baltistan Software Houses Association, said the ICT sector’s contribution to the country’s services exports was approximately 40%, which showed the sector’s impact on economic growth. He pointed out that the government’s supportive policies and investments in digital infrastructure had created a conducive environment for the sector’s growth. The vision of ‘Digital Pakistan’ is driving comprehensive digital transformation across various sectors. “To further enhance the sector’s growth, the government should keep on investing in digital infrastructure and human capital development. Efforts should be made to enhance the country’s global competitiveness by improving rankings in the ease of doing business index and the Global Innovation Index,’’ he suggested.

Credit: INP-WealthPk