Pakistan’s increasingly frequent internet shutdowns are taking a significant toll on the nation’s economy, particularly affecting businesses that transitioned online during the COVID-19 pandemic. According to a new report from the Overseas Investors Chamber of Commerce and Industry (OICCI), these disruptions have resulted in direct losses of Rs 1.3 billion to the country’s GDP, equivalent to 0.57%.
The economic impact is even more severe when indirect losses are factored in, reaching an estimated Rs 1.7 billion. In developing nations like Pakistan, internet connectivity is crucial for modernizing public services and enabling businesses to compete globally. However, the recent trend of internet shutdowns suggests a regression in Pakistan’s digital transformation efforts.
Experts argue that for Pakistan to realize its potential as a thriving digital economy, the government must prioritize widespread, affordable internet access and invest in robust digital infrastructure. The current trend of internet shutdowns is counterproductive and risks stifling the country’s economic growth.
Despite the availability of mobile internet networks to over 58% of the population, a significant portion remains unsubscribes. This gap presents a growth opportunity for telecom providers, who can boost revenues and contribute to Pakistan’s broader digital transformation goals by improving affordability and service quality.
