Pakistan is facing $1.62 billion in economic losses from internet outages, the highest globally in 2024. Experts urge the government to expedite the rollout of 5G services and improve internet infrastructure to prevent further losses. The disruptions, attributed to political events, affected over 82.9 million users and had a profound impact on the IT and freelancing sectors, raising concerns about the country’s economic future.
Pakistan is grappling with significant economic repercussions due to persistent internet disruptions, totaling an estimated $1.62 billion in losses in 2024, as reported by the global internet monitoring service Top10VPN.com. This figure places Pakistan at the forefront of countries experiencing the most substantial economic impact from internet outages, surpassing losses seen in conflict-affected regions such as Sudan and Myanmar. The internet disruptions, which affected over 82.9 million users during 9,735 hours of outages, were primarily linked to political events such as elections and protests.
In response, various IT associations and industry experts are urging the government to accelerate the implementation of 5G services and enhance internet connectivity. The Pakistan Software Houses Association (P@SHA) has warned that if slow internet speeds and VPN restrictions persist, the IT sector could incur annual losses of up to $150 million. P@SHA Chairman Sajjad Mustafa Syed highlighted the critical nature of the issue, stating, “Pakistan suffers a loss of more than one million dollars per hour on account of internet shutdowns.”
Moreover, Tufail Ahmed Khan, the President of the Pakistan Freelancers Association (PAFLA), expressed concern over how these internet issues are affecting the country’s 2.37 million freelancers. He indicated that while IT exports reached $3.2 billion in the 2023-24 fiscal year, the potential for growth could be greatly enhanced with improved infrastructure and fewer disruptions. Khan praised the newly introduced National Fiberization Policy, which aims to broaden broadband access and enhance internet speeds, calling for the government to adopt more conducive policies for internet usage and VPN accessibility.
The staggering economic losses Pakistan faces from internet disruptions underline a pressing need for technological advancement in the country’s digital infrastructure. In 2024, Pakistan was highlighted as suffering the most significant losses globally from internet outages, a situation thrusted into focus by ongoing political turmoil. The research conducted by Top10VPN.com has showcased just how critical internet access is for economic activities, especially as the global economy increasingly relies on stable digital communication. IT experts advocate for immediate action from the government to modernize internet services to mitigate these losses and maintain competitive standing in the global IT market. Further exacerbating this challenge is the slow rollout of 5G technology and existing limitations imposed through internet throttling and government censorship, which hinder not only businesses but also freelancers reliant on reliable internet access for their livelihood. As leading figures in the technology and freelance sectors call for change, the future of Pakistan’s IT potential hangs in the balance, relying heavily on government initiatives to enhance connectivity.
In conclusion, the dire circumstances surrounding Pakistan’s internet infrastructure and the economic losses incurred from disruptions necessitate immediate action from the government. The calls for fast-tracking 5G implementation and optimizing internet access are essential to prevent further declines in IT export revenues and support the burgeoning freelance sector. Highlighting the importance of modernizing digital infrastructure, these developments will play a critical role in ensuring Pakistan’s competitiveness in the global IT landscape while safeguarding ongoing growth within its technology sector.
Original Source: profit.pakistantoday.com.pk
