Pakistan's Digital Economy Faces Great Connectivity Divide

Pakistan is experiencing rapid digital transformation, with mobile connectivity and digital platforms significantly altering the economy and daily life. While telecom operators like Telenor have expanded coverage, financial sustainability and low average revenues per user pose challenges to further growth and investment. The digital economy is flourishing, evident in booming IT exports and increased digital transactions, though disparities in infrastructure, high costs, and low digital literacy have entrenched a stark digital divide, particularly outside major cities. Digital sovereignty is emerging as a critical issue, as reliance on foreign-owned platforms exposes Pakistan to external control and data exploitation, raising concerns over national security and economic independence. Promoting inclusive digital growth requires targeted investments in infrastructure, digital literacy, and local innovation to bridge divides and ensure equitable access. Addressing these challenges can unlock new opportunities for economic development, innovation, and social inclusion across Pakistan.