Digitisation to contribute $60bn to Pakistan's economy: report

ISLAMABAD: Digitisation can contribute $60 billion to Pakistan’s economy and provide innovative employment opportunities for the 23% of country’s population in the next seven to eight years, said a report issued by the Overseas Investors Chamber of Commerce and Industry (OICCI).

The OICCI presented the report to President Dr Arif Alvi, stating the importance of Digitisation. The report offers key recommendations on various facets of digital transformation, including digital infrastructure and connectivity, government, private sector, mass digital usage, emerging web 3.0 technologies, and digital regulations.

President Dr Arif Alvi received the report, acknowledging the decline in business confidence due to the challenging political and economic situation in the last six months, and appreciating the OICCI’s efforts to digitise the economy.

The report noted that a 10% increase in broadband penetration results in increasing the GDP by 1.4%.

OICCI President, Ghias Khan, emphasized the importance of digitisation to help include underserved populations, such as those in far-flung areas of the country. Digitising the education and health sectors in a phased manner, preparing national electronic health records, and conducting capacity-building workshops for professionals are crucial to overcome issues in Pakistan.

The report highlighted the development of digital financial services in recent years but notes that Pakistan is still a cash-based economy, with less than 5% of merchants accepting digital payments. The government needs to promote digital payments and encourage international e-commerce companies to set up regional offices in Pakistan to support the growth of the e-commerce market.

M Abdul Aleem, the CEO and Secretary General of OICCI, noted that digitisation could bring efficiency to government services, improve productivity, and help improve the ease of doing business.

The Pakistani government should take advantage of modern technologies, such as machine learning, data analytics, and artificial intelligence, to improve competence in public departments, document the economy, and increase tax revenues, it added.