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P@SHA Warns of Severe Economic Impact from VPN Blockage

  • November 19, 2024
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Pakistan Software Houses Association (P@SHA) has raised serious concerns over the potential impact of internet slowdowns and the blocking of Virtual Private Networks (VPNs) on Pakistan’s IT industry.

P@SHA Chairman Sajjad Mustafa Syed warned that such measures could lead to significant financial losses, service disruptions, and reputational damage for the IT and IT-enabled Services (ITeS) sector. The industry, which contributed $3.2 billion to the economy in FY24, could suffer tens of millions of dollars in short-term losses and long-term reputational damage.

The IT industry’s reliance on VPNs for secure remote work, international collaborations, and client connectivity is crucial for its growth and global competitiveness. Any restrictions on VPN usage could force companies to relocate operations or curtail their activities in Pakistan, hindering economic growth and job creation.

P@SHA emphasized the importance of a balanced approach to internet security and the need to avoid blanket bans on VPNs. The association urged the government to work with industry stakeholders to develop a comprehensive framework that ensures national security while enabling the growth of the IT sector.

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