Microsoft Retains Liaison After Pakistan Operations Shutdown

Microsoft has officially shut down most of its operations in Pakistan after 25 years, retaining only a small liaison presence of about five employees, according to founding country head Jawwad Rehman. The closure was made without a formal public announcement and is attributed to political instability, economic uncertainty, high taxes, currency fluctuations, and import restrictions. Former President Arif Alvi linked the exit to missed investment opportunities and a Microsoft expansion plan that was shifted to Vietnam amid regime changes. Microsoft described the move as part of routine business optimization and assured customers that services will continue through partners and regional offices. The company's departure highlights Pakistan's challenges in attracting and retaining global tech investment, especially when compared to neighboring India and other regional hubs. The move is seen as a troubling sign for Pakistan’s economic and technological future, with increasing joblessness, talent migration, and declining investor confidence.