In 2024, Pakistan faced the highest economic losses due to internet outages, totaling $1.62 billion. These outages hurt businesses, freelancers, and exports, causing major economic damage. Experts are urging the government to fix these issues by speeding up the rollout of 5G services and improving the internet infrastructure.
Huge Losses from Internet Disruptions
| Country | Economic Losses (in Billion $) | Hours of Disruption | Affected Users |
|---|---|---|---|
| Pakistan | 1.62 | 9,735 | 82.9 million |
| Other countries | Lower than Pakistan’s losses | Similar disruptions | Affected users |
Pakistan internet disruptions lasted 9,735 hours in 2024, affecting 82.9 million users. Most outages were due to political events like protests and elections. These disruptions caused massive losses, proving the need for better internet services.
Slow Internet Hurts the IT Sector
Slow internet speeds are also damaging the IT industry in Pakistan. The Pakistan Software Houses Association (P@SHA) says Pakistan may lose up to $150 million each year due to slow speeds and VPN restrictions.
| Issue | Impact |
|---|---|
| Slow internet speeds | Loss of $150 million yearly |
| VPN restrictions | Limits business and freelance work |
| Internet shutdowns | Loss of $1 million per hour |
According to P@SHA Chairman, Sajjad Mustafa Syed, Pakistan loses over $1 million per hour due to internet shutdowns. This affects businesses and freelancers who depend on reliable internet for work.
Importance of 5G Rollout
Experts want the government to roll out 5G services quickly. 5G can provide faster internet, reducing disruptions and improving business operations.
| Solution | Impact |
|---|---|
| 5G rollout | Faster internet speeds, less disruption |
| Fibre-optic networks | Better infrastructure for higher speeds |
| New undersea cables | Improved global connectivity |
The government is planning to auction 5G spectrum in March 2025. This will help improve internet speeds. Installing fibre-optic networks and adding undersea cables will further boost connectivity and prevent disruptions.
Freelancers Affected by Slow Internet
Pakistan has more than 2.37 million freelancers who rely on fast internet to complete their work. Slow internet affects their productivity and earnings.
| Issue | Impact |
|---|---|
| Slow internet speeds | Reduced productivity |
| Internet disruptions | Missed deadlines and lost earnings |
| Limited connectivity | Reduced global competitiveness |
Tufail Ahmed Khan, President of the Pakistan Freelancers Association (PAFLA), pointed out that slow internet is hurting freelancers. This impacts Pakistan’s ability to attract foreign remittances and reduces the country’s competitiveness in the global market.
Government Steps to Improve Connectivity
The government is working to improve internet speeds. The National Fiberization Policy aims to expand broadband coverage, helping the freelance sector. Also, the Pakistan Telecommunications Authority (PTA) is taking action to improve connectivity.
| Action | Expected Outcome |
|---|---|
| National Fiberization Policy | Better broadband coverage for faster internet |
| Joining 2Africa cable system | Enhanced global connectivity and faster speeds |
| Collaboration with Starlink | Satellite internet for remote areas |
The PTA has arranged temporary bandwidth to fix disruptions caused by the Asia-Africa-Europe-1 (AAE-1) submarine cable failure. Later, Pakistan will join the 2Africa cable system, which connects many regions and provides faster internet. Talks with Starlink may also bring satellite internet to remote areas.
Urgent Action Needed for Future Growth
Pakistan’s internet infrastructure needs improvement to avoid further economic losses and boost global competitiveness. Industry experts are calling for urgent steps, such as quick 5G rollout and better connectivity.
| Needed Action | Impact |
|---|---|
| Quick 5G rollout | Faster internet, better productivity |
| Infrastructure improvements | Reduced outages, better global image |
| Freelancer-friendly policies | More foreign remittances, strong reputation |
Improving internet speeds and infrastructure is essential for Pakistan’s digital economy. The government must act now to ensure continued growth in the IT and freelancing sectors. These efforts will help Pakistan strengthen its global position in the digital world.
