In recent years, Pakistan has undergone a significant technological transformation, marking a journey towards innovation and digitalization. From the bustling streets of Lahore to the vibrant metropolis of Karachi, the country is experiencing a notable shift in its technological landscape, driven by a confluence of factors such as governmental initiatives, private sector investments, and the indomitable spirit of its populace.
In recent years, Pakistan has undergone a significant technological transformation, marking a journey towards innovation and digitalization. From the bustling streets of Lahore to the vibrant metropolis of Karachi, the country is experiencing a notable shift in its technological landscape, driven by a confluence of factors such as governmental initiatives, private sector investments, and the indomitable spirit of its populace.
The government of Pakistan has recognized the pivotal role of technology in fostering economic growth and societal development. Consequently, it has launched several initiatives aimed at promoting the digital ecosystem. One such initiative is the “Digital Pakistan” campaign, designed to expedite the digitization process across various sectors. Through this campaign, the government aims to provide digital skills training, enhance internet connectivity, and facilitate e-governance services.
Furthermore, the establishment of special economic zones (SEZs) with a focus on technology and innovation has garnered both local and foreign investment. These zones serve as focal points for technology companies, encouraging collaboration and driving entrepreneurship. The private sector in Pakistan has also been instrumental in propelling technological innovation forward. With a burgeoning number of startups and incubators, there has been a surge in entrepreneurial activity, particularly in sectors such as e-commerce, fintech (digital financial services), and software development.
Pakistani startups have gained global recognition, attracting investment from venture capitalists and angel investors. Companies like Careem, a ride-hailing service, and Daraz, an e-commerce platform, have emerged as success stories, underscoring the potential of the Pakistani market. Moreover, multinational technology companies have shown increasing interest in establishing a presence in Pakistan, acknowledging its untapped market potential and pool of skilled talent. This influx of investment has not only fueled innovation but has also created job opportunities for the country’s youth.
One of Pakistan’s greatest assets is its young and dynamic population, constituting almost 64 percent of the total population. Recognizing the importance of nurturing talent, various initiatives have been launched to empower the youth through technology education and training programs. Organizations such as Code for Pakistan and Invest2Innovate are collaborating globally to cultivate a culture of innovation and entrepreneurship among young Pakistanis. Additionally, the rise of online learning platforms has democratized access to education, enabling individuals from all socioeconomic backgrounds to acquire new skills in areas such as programming, digital marketing, and data science.
Despite the progress made, Pakistan still faces challenges on its path to technological advancement. Issues such as inadequate infrastructure, the digital divide, and cybersecurity threats need to be addressed to fully harness the potential of technology. However, these challenges also present opportunities for growth and innovation. The journey of technological development in Pakistan is ongoing, with boundless possibilities on the horizon. As the country continues to embrace digital transformation, it has the potential to revolutionize industries, improve governance, and enhance the quality of life for its citizens.
In parallel, Pakistan confronts escalating challenges across economic, fiscal, social, and environmental domains. Key economic indicators have persistently declined, with consistently negative balance of payments, alarming trade deficits, and dwindling exports. Industrial sectors face significant challenges exacerbated by widening power outages and uncertain food supply security. High inflation and escalating unemployment further compound the situation, necessitating attention to the health and education sectors. The population explosion presents a critical issue requiring immediate action. Structural reforms across these sectors are imperative to achieve desired outcomes.
The newly elected government faces the daunting task of addressing these challenges and must prioritize concrete measures. However, concerns arise regarding the government’s capability and competence, given the presence of familiar faces from past administrations who have not delivered effectively. Public hope for improvement diminishes amidst skepticism about the government’s ability to enact meaningful change. While securing a long-term agreement with the International Monetary Fund (IMF) remains crucial, addressing other pressing economic issues is equally vital.
To initiate meaningful progress, a pivotal area demanding attention is the development of science and technology. To bolster global competitiveness across all economic sectors, simultaneous advancements in environmental, technological infrastructure, and related sectors are imperative. The government must facilitate the commercialization of selected technologies through collaboration between research and development (R&D) and industrial sectors. While acknowledging the significant role of technology and engineering in facilitating industrialization, there remains a gap in national direction. Among the various challenges the sector faces is the brain drain. As many as 540,000 professionals, mostly young, left the country in 2023 to take up jobs abroad, having registered with the Bureau of Emigration & Overseas Employment. These included some 12,000 computer experts and 21,500 technicians, as well as many engineers, doctors and teachers. Total number of Pakistani emigrants in 2023 was 860,000.
Technology and engineering translate scientific knowledge into actionable solutions, catalyzing economic sector growth. However, the absence of a conducive environment for their development hinders progress. Pakistan has lacked a comprehensive industrial policy and a robust science and technology policy for nearly two decades, relegating these crucial sectors to the sidelines in government planning. Despite lip service and high-level programming, these sectors have not received the priority they deserve. The government had proposed a $ 5 billion package for the IT & Telecom industry, in June 2023, but there has been no further progress as yet.
In today’s rapidly evolving economic landscape, technology serves as a crucial driver of growth, fostering business transformation and creating new development opportunities. Its positive impacts include productivity enhancement, market expansion, and GDP growth. However, Pakistan’s science, technology, and innovation ecosystem lag behind compared to peers like Iran and Turkey. Implementation of the National Science, Technology, and Innovation Policy 2022 has been limited, primarily due to political instability and lack of political will.
The writer is retired chairman of the State Engineering Corporation.
