National Assembly Standing Committee on IT and Telecom was updated on the progress of various projects within the Information Technology sector during a session on Tuesday. One of the key highlights of the meeting was the announcement that Pakistan’s pilot AI Policy will be finalized by the end of this month. This marks a significant milestone in the country’s efforts to position itself as a player in the global AI race. The AI policy is expected to address critical issues related to the adoption and regulation of AI technologies, which have the potential to transform multiple industries, from healthcare to education to finance.
Despite the positive news regarding the AI policy, committee chairman Syed Aminul Haq expressed his frustration over the delayed finalization of the Data Protection Bill, which has been under discussion for several months. Haq criticized the ongoing delay and urged the Ministry of IT to expedite the process. The IT Ministry assured the committee that consultations with relevant stakeholders are ongoing, and the bill would be completed soon, though the exact timeline remains unclear. The Data Protection Bill is expected to play a crucial role in safeguarding personal data in Pakistan, especially as digital transactions and online services continue to expand.
A significant portion of the meeting was dedicated to discussions about the IT Ministry’s Public Sector Development Program (PSDP) funds for the fiscal year 2024-25. The committee was informed that Rs. 24 billion had been allocated for both ongoing and new development projects. One of the notable projects under this funding is the Special Communications Organization’s (SCO) mobile service expansion project. The Rs. 780 million project aims to improve coverage in 28 new locations across the country, expanding mobile network access to underserved areas. Officials from the IT Ministry highlighted that over Rs. 23 billion had already been allocated for development projects in the current fiscal year, with Rs. 2 billion spent so far. The committee was also told that the IT Ministry would require an additional Rs. 43 billion in the next fiscal year to support 18 new and ongoing projects, which include initiatives under the SCO, the Pakistan Software Export Board (PSEB), and hybrid power solutions.
One of the key development projects discussed was the Rs. 870 million hybrid power project aimed at improving energy access in Azad Jammu and Kashmir (AJK) and Gilgit-Baltistan. The project is expected to require Rs. 500 million in the fiscal year 2026. Hybrid power solutions are seen as crucial for improving energy access in remote and off-grid areas, and this initiative is expected to have a significant impact on the local communities in these regions.
The committee also focused on Pakistan’s potential in the semiconductor industry, which has long been considered an area of untapped potential. Officials provided insights into the growing revenue potential of the semiconductor industry and confirmed that government-to-government agreements had been established to help foster sector growth. The semiconductor industry plays a critical role in driving technological advancements across multiple sectors, and Pakistan is looking to capitalize on the global demand for semiconductor products and services.
Another significant topic of discussion was the status of various IT parks, which are crucial to Pakistan’s digital infrastructure and its ambitions to become a technology hub. The committee raised concerns over the underutilization of Rs. 6 billion allocated for the Karachi IT Park, which has yet to progress beyond the design phase. The IT Ministry informed the committee that it had requested to transfer these funds to the Islamabad IT Park, where progress is expected to be faster. This move is seen as an effort to make better use of resources and ensure that the funds are utilized for projects that are already further along in development.
The issue of the Quetta IT Park was also brought up during the meeting. Despite three years of discussions, the Quetta IT Park remains only a proposal at this stage. Although the federal government has suggested allocating land for the park, progress has stalled due to a lack of follow-through. The IT Ministry revealed plans to seek budget allocation for the Quetta IT Park in the next fiscal year to push the project forward. Establishing IT parks in key cities across Pakistan is part of the government’s broader vision to boost the country’s tech ecosystem and create job opportunities in the IT sector.
Overall, the meeting underscored the importance of accelerating the pace of development in Pakistan’s IT and telecom sectors. While there are several promising initiatives in the pipeline, including the AI policy, hybrid power solutions, and IT parks, delays in the finalization of key bills like the Data Protection Bill and the slow pace of development in some areas remain points of concern. As Pakistan continues to modernize its digital infrastructure, the government’s ability to address these challenges will be crucial to ensuring that the country remains competitive in an increasingly digital world. The upcoming fiscal year is expected to bring significant developments in the IT and telecom sectors, and all eyes will be on the implementation of these projects as they unfold.
