Digital Pakistan: Bridging the Geographic Digital Divide in the Country
Like many other countries, Pakistan has a geographic digital divide. Residents of remote areas of the country have significantly lower access to the Internet than those in the urban centers. While the mobile internet usage in the urban areas has reached 65%, only 50% of those living in rural areas have access to it, according to a recent GSMA report titled "State of Mobile Internet Connectivity 2026".
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| Digital Connectivity in Rural Pakistan |
To bridge this rural-urban digital divide, Pakistan government is expanding telecom and high-speed internet services in remote and rural areas through the proposed National Connectivity Plan, satellite broadband integration, and multi-billion-rupee Universal Service Fund (USF) projects. Fiber optic cables and satellites will provide backhaul high-capacity communication link to solar-powered 4G/5G cell towers in rural communities.
Solar power is being used to bridge the digital divide in the country by providing reliable off-grid electricity for remote telecom towers, internet hubs, and community learning centers. Cell tower infrastructure companies like Engro Enfrashare are using solar-powered setups for thousands of telecom towers across regions like Balochistan to maintain stable mobile and data signals.
Pakistan Telecommunications Authority (PTA) has recommended licensing multiple low-earth orbit (LEO) satellite service providers, including Starlink, OneWeb, Shanghai Spacecom Satellite Technology (SSST) and Amazon's Project Kuiper, to deliver reliable broadband to isolated rural communities and motorways where laying conventional fiber is commercially unviable.
At the same time, satellite service providers such as Kacific Broadband Satellites have partnered with local operations to bring high-speed connections—delivering up to 60 Mbps to rural schools across remote northern territories like Gilgit-Baltistan and Chitral. Leveraging 11 Ka-band spot beams on the Paksat MM1 satellite, this partnership will bridge the digital divide and support the country’s growing connectivity needs. With high-throughput capacity for over 20,000 sites, the collaboration will provide essential broadband access for communities, businesses, government agencies, ISPs, and telcos, enabling mobile backhaul and backup connectivity in remote regions.
The Universal Service Fund (USF), funded by a levy on mobile carriers, has expanded voice and broadband access to more than 16.2 million people. The projects covered over 9,400 underserved and unserved mauzas during the last five fiscal years. The Fund has recently approved major new projects worth Rs 13 billion across 11 districts across the country. These initiatives encompass three fiber-optic cable projects covering 1,428 km (Sialkot, Narowal, Ziarat, and Quetta) and six broadband projects (Umerkot, Gujranwala, Kohat, Khuzdar, Muzaffargarh, Mansehra, and Mandi Bahauddin) aiming to connect over 5.5 million people. These cables are planned to be installed along motorways and highways going through small towns and villages.
In addition to improving access in underserved areas, Pakistan government has also rolled out an ambitious National Fiberization Plan aimed at delivering high-speed broadband to 10 million households by 2029. It's also targeting 80% fiberization of mobile towers to enhance network capacity and reliability.
In FY2025-26, Pakistan's software houses, BPOs, export companies and independent freelancers together earned Pakistan US$4.6 billion in IT and IT-enabled services exports, up 20% from US$3.8 billion the year before. June, 2026 alone brought in US$416 million, nearly 23 percent higher than the same month a year earlier, according to government data. The government has set a target of $25 billion digital economy by 2030.
It's all part of Pakistan's continuing journey to build a robust digital public infrastructure (DPI). It began in March 2000 with the establishment of NADRA, the National Database and Registration Authority. The Gates Foundation defines DPI as follows: "DPI is a digital network that enables countries to safely and efficiently deliver economic opportunities and social services to all residents. DPI can be compared to roads, which form a physical network that connects people and provides access to a huge range of goods and services...... strong DPI has three foundational systems—identity, payments, and data exchange—that together can make life easier in important ways".
Growing access to smartphones and Internet connectivity is already transforming the lives of women in rural Pakistan. They are acquiring knowledge, accessing healthcare and finding economic opportunities. A 2023 UNDP report titled "DigitAll: What happens when women of Pakistan get access to digital and tech tools? A lot!" written by Javeria Masood describes the socioeconomic impact of technology in Pakistan in the following words:
"The world as we know it has been and is rapidly changing. Technology has proven to be one of the biggest enablers of change. There has been a significant emphasis on digital trainings, tech education, and freelancing in the last several years especially during the pandemic, through initiatives from the government, private and development sectors. Covid-19 acted as a big disrupter and accelerated the digital uptake many folds. In Pakistan, we saw the highest number of digital wallets, online services, internet-based services and adaptability out of need and demand".
Related Links:
2021: A Banner Year For Tech Startups in Pakistan
Pakistan Projected to Be World's 6th Largest Economy By 2075
Digital Pakistan 2022: Broadband Penetration Soars to 90% of 15+ Population
Working Women Seeding a Silent Revolution in Pakistan
Socioeconomic Impact of New Infrastructure in Rural Pakistan
Solar Power Boom in Pakistan
Pakistan at 75
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https://ua.news/en/it-ta-telekom/u-pakistani-viznachili-litsenziiu-dlia-suputnikovogo-internetu-ale-pravila-shche-gotuiut
The new license allows the provision of broadband access, backhaul connectivity, capacity and enterprise network services. At the same time, it does not cover direct-to-device connectivity, mobile satellite communications, earth stations in motion or broadcasting. Therefore, the current license category does not provide for internet access for airline passengers or smartphone connectivity outside cellular coverage areas.
Requirements for operators
Operators of low Earth orbit satellite networks must be registered in Pakistan and obtain a license. They must also build a gateway earth station in the country within 18 months, route all domestic traffic through it and store user data within the country.
The license requires an operator to ensure, before launching services, the technical ability to intercept the traffic of a specific user at the request of law enforcement agencies. The Dawn article notes that similar requirements already apply to Pakistan's mobile operators and internet service providers, and are also applied to satellite operators in India, Bangladesh and the United States.
More current news is available on the UA.News Telegram channel Telegram.
Fees and regulatory barriers
The one-time license fee is $500,000, while recurring payments amount to about 2.5% of annual gross revenue. A separate 6% contribution is provided for a space-sector development research fund controlled by the Strategic Plans Division. The total burden is estimated at about 8.5% of revenue, compared with about 4% in India and 3–5.5% in Bangladesh.
The licensing zone for fixed satellite services does not include Azad Jammu and Kashmir or Gilgit-Baltistan. According to the article's authors, satellite communications may be particularly needed in these regions because of weak infrastructure, a small number of base stations and remote valleys.
At least four global operators are seeking licenses, including Starlink, Amazon's Kuiper and China's Qianfan. The detailed regulatory framework is to be developed by the Pakistan Space Activities Regulatory Board. It has engaged the London-based company Access Partnership, which has already submitted recommendations, but the final framework, according to Dawn, has not yet been completed.
Iqbal sets $1tr digital goal for 2035
Says IT exports hit $4.6b, digital gender divide narrows to 8%
https://tribune.com.pk/story/2629508/iqbal-sets-1tr-digital-goal-for-2035
URUMQI:
Federal Minister for Planning, Development and Special Initiatives Ahsan Iqbal on Tuesday outlined a transformative digital roadmap aimed at propelling Pakistan into a $1 trillion economy by 2035 under the national vision Uraan Pakistan, according to a statement issued on Tuesday.
Addressing high-level delegates from Shanghai Cooperation Organisation (SCO) member states at the 2026 SCO Digital Economy Forum in Urumqi, the minister announced unprecedented growth in Pakistan's digital connectivity, highlighting a user base that has rapidly surged past 150 million consumers alongside a 25% jump in data consumption over the last two years.
Iqbal said that to support the nation's rapid digital transition, Pakistan is executing a massive broadband expansion, scaling fibre-optic connections from three million to over five million, with an immediate target to bring high-speed wired broadband to 10 million households.
The minister said this expansion coincides with a record-breaking performance in the technology sector, with Pakistan's information technology (IT) and information and communication technology (ICT) exports reaching an all-time high of $4.6 billion in the last fiscal year.
"Pakistan is fundamentally shifting its tech strategy," stated the planning minister. "We are moving beyond exporting traditional IT services toward developing proprietary tech products, building robust digital platforms, and fostering tech-driven manufacturing. The digital economy is not merely a sector for us – it is the engine of comprehensive economic transformation."
Emphasising that sustainable development relies on equity, the minister shared critical milestones in empowering Pakistani women through mobile access. Female mobile internet usage rose significantly from 33% to 45%, while overall digital gender divide collapsed from 35% down to just 8%.
"A digital transformation that leaves women behind is neither economically viable nor socially just," Iqbal asserted, reaffirming Pakistan's commitment to inclusive tech policies.
By PR Newswire
https://macaubusiness.com/ebanx-advances-emerging-market-infrastructure-with-pakistan-expansion-in-motion-and-native-apple-pay-decryption/
Mobile-first and a double-digit growth opportunity in Pakistan
Following the addition of Thailand, Indonesia, Malaysia, Vietnam, and Türkiye to its footprint in 2026, EBANX is preparing its payment operations in Pakistan for the next semester. The first alternative payment methods (APMs) to be offered are the local wallets JazzCash and Easypaisa, each reporting more than 50 million users. Next will be Raast, Pakistan’s rapidly growing national instant-payment rail. Data from the State Bank of Pakistan shows that Raast transaction volume nearly doubled in a year, going from 371.2 million in Q3 FY25 to 742.1 million in Q3 FY26.
EBANX selected the country as its next frontier due to strong merchant demand and structural market complexity. According to World Data Lab (WDL) data analyzed by EBANX, Pakistan’s e-commerce spending is projected to grow at an average rate of 22% annually (2026-2030).
With this high CAGR, the country is on track to more than triple its online market size over the decade. Pakistani Gen Z (ages 15–30 in 2026), especially, is experiencing a massive digital boom. Their spending on Video Gaming, Streaming, and Social Media is projected to grow at 17% annually through 2036—but credit card ownership among this cohort is below 10%.
“Pakistan is a classic mobile-first market where smartphone ownership runs 20 to 40 percentage points ahead of card ownership. This makes local account-based payment methods, bank transfers, and digital wallets the key to winning market share,” said Eduardo de Abreu, CPO of EBANX and regional CEO of EBANX Singapore. “This payment fragmentation is challenging for global businesses, but bridging local payment infrastructure with global merchant needs is precisely what we have specialized in for over a decade.”
Since its founding in Brazil in 2012, out of the necessity of global brands to connect with consumers and businesses through the Brazilian bank slip Boleto, EBANX has gone global, offering 400+ rails, 200+ payment methods, and processing over 4 million transactions per day.
Apple Pay: EBANX decrypts in-house, so merchants don’t have to
Starting in September, EBANX is rolling out a new operating model for Apple Pay that shifts the entire token decryption layer in-house. Under this setup, EBANX receives and decrypts encrypted Apple Pay tokens directly, managing certificates, security keys, and end-to-end PCI DSS compliance within its own infrastructure rather than requiring merchants to handle decryption.
“The result is less burden for merchants and faster, safer, more seamless transaction flows, with EBANX owning the full end-to-end cardholder journey inside our acquiring stack,” explained Abreu.
Apple Pay is a tokenized digital wallet that uses a debit or credit card as the underlying payment credential. With this new offering, EBANX—the only PSP with local acquiring across all 11 Latin American and Caribbean markets where Apple Pay operates—simplifies merchants’ operations while maintaining full end-to-end PCI DSS compliance within its acquiring infrastructure.
Early production data underscores the model’s performance impact: tokenized wallet processing delivered an 11-percentage-point uplift in approval rates compared to non-tokenized card transactions, reaching 94.4%. Average Order Value (AOV) ran 23.5% higher than standard card purchases, reflecting strong alignment with high-intent digital consumers.
“We have already built a successful partnership with Apple Pay in Brazil. Now, we are taking the most sophisticated version of that architecture across Latin America, from Guatemala to Argentina, for both one-time and recurring transactions,” said Del Valle.
https://www.nytimes.com/2026/09/15/technology/bill-gates-ai-foundation-funding.html
The funding will be used to support A.I. projects in health care, agriculture and education, and to develop data sets in more languages.
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The Gates Foundation has pledged to spend at least $1 billion over the next two years to expand global access to artificial intelligence and use it to tackle social inequalities.
The intervention came amid a growing debate over the risks posed by the technology, with many of the industry’s leading figures calling for a slowdown in its development.
The foundation’s annual Goalkeepers report, released on Monday, advocated an urgent effort to ensure that A.I. “helps narrow gaps between the richest and poorest rather than widening them.”
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“The window to influence who benefits, and how soon, is short,” the report argued.
If A.I. keeps developing as it is, “the most capable tools will be built first for the people and institutions most able to pay for them,” according to the report, “not necessarily for those who could benefit most.”
Most of the data used to train the early large language models was in English, according to the report, “leaving many communities that could benefit from A.I. poorly represented in the data on which these tools were built.”
The foundation said that it would divide the new funding among external groups working on its priorities, spanning work like encouraging A.I. use among doctors, farmers and teachers, or developing data sets in more languages. Though significant, the funding is a small fraction of the hundreds of billions of dollars at the disposal of commercial A.I. firms.
Bill Gates, the billionaire co-founder of Microsoft and the chairman of the Gates Foundation, has warned that A.I. could pose a grave threat to jobs and human life. “In terms of equity, A.I. will either be the greatest equalizer ever invented, or the worst source of injustice,” he wrote in an essay on his personal website last month, predicting that the transition to the new A.I. era would be one of the “most turbulent times in human history.”
According to Mr. Gates, who no longer works at Microsoft, the tech industry is knowingly downplaying threats posed by A.I., because there is so much money on the line.
The Gates Foundation’s announcement came after the chief executive of Anthropic called for a global slowdown of A.I. development after one of the company’s employees quit over concerns about the safety of the technology. Top executives at other major A.I. companies, including Sam Altman, the chief executive of OpenAI; Elon Musk, who founded SpaceXAI; and Demis Hassabis, the chair of Google DeepMind agreed on the need for a slower pace.
Last month, Mr. Gates warned that A.I. would spread across the economy, possibly causing job losses across the economy and leaving little room for one industry to absorb the refugees from another. The biggest tech companies in the world, including Microsoft, are racing to help corporate customers adopt A.I., and have said it could replace many workers.
On Monday, Mr. Gates urged the governments and companies developing the technology to focus on how A.I. could help people who have most to gain from the technology, rather than the most profitable users.
“We can harness A.I. for good,” Mr. Gates wrote. “But it won’t happen by accident.”
https://mettisglobal.news/Pakistans-IT-exports-to-UAE-jump-42-amid-growing-tech-ties-64002
October 06, 2026 (MLN): Pakistan’s IT exports to the United Arab Emirates (UAE) surged 42% to $536 million in FY2025-26 from $376 million in FY2024-25, highlighting the growing technology and digital-services ties between the two countries.
Against this backdrop, Pakistan is showcasing its artificial intelligence (AI) and emerging technology capabilities at AI Everything Global 2026, a major public-private gathering bringing together more than 500 exhibitors and 150 investors from 70 countries, according to APP.
The Pakistan Pavilion, established under the auspices of the Pakistan Software Export Board (PSEB), features five Pakistani technology companies presenting AI-driven solutions and services, including AI Data Intelligence, AI Surveillance, AI Sales Solutions and Sovereign AI.
The pavilion was inaugurated by Ambassador Shafqat Ali Khan, Pakistan’s Envoy to the UAE, who interacted with participating Pakistani companies and stressed the importance of strengthening Pakistan’s presence in the rapidly evolving global AI landscape.
He emphasized the need to invest in AI talent development and equip the younger generation with advanced AI, coding and digital skills to build a future-ready workforce and improve Pakistan’s competitiveness in the global digital economy.
Pakistan’s participation at the event is providing local technology companies with opportunities to connect with international industry leaders and investors, develop strategic partnerships and explore new business and investment opportunities in the AI ecosystem.
The participation is being facilitated by the Commercial Section of Pakistan’s Diplomatic Mission in the UAE, led by Trade & Investment Counsellor Ali Zeb Khan, in coordination with PSEB and the Ministry of IT and Telecom (MoIT).
Pakistani delegates are also engaging with international stakeholders on AI-driven innovation, digital transformation and potential areas of collaboration.
https://techbullion.com/how-digital-payments-are-reshaping-pakistans-economy-the-cashless-revolution-of-2026/
How Digital Payments Are Reshaping Pakistan’s Economy: The Cashless Revolution of 2026
Pakistan is entering a new phase of financial transformation as technology continues to change the way people earn, spend, save, and transfer money. From small retailers and freelancers to large companies and online businesses, digital financial solutions are becoming an increasingly important part of everyday economic activity. In 2026, the rapid adoption of digital payments in Pakistan is helping create a more connected, convenient, and technology-driven financial environment.
The shift away from traditional cash transactions is not simply about convenience. It is also influencing business operations, financial inclusion, e-commerce, consumer behavior, and the overall structure of Pakistan’s digital economy. As smartphones, mobile banking, online shopping, and instant transfers become more common, digital payments are gradually becoming an essential component of modern commerce.
The Rise of a Cashless Economy in Pakistan
Cash has traditionally played a central role in Pakistan’s economy. Consumers have relied on physical currency for everything from grocery shopping and transportation to utility bills and business transactions. However, increasing smartphone penetration and improved access to digital financial services are changing these habits.
Today, customers can transfer money, pay bills, purchase products, and send payments through mobile applications and online banking platforms. Digital wallets and QR-based payment solutions are also making it easier for merchants to accept electronic payments without requiring complicated infrastructure.
This transition is creating a more flexible payment environment where consumers have multiple options instead of depending entirely on physical cash.
Why Digital Payments Matter for Economic Growth
The growth of digital transactions can have a significant impact on economic activity. When payments become faster and easier, businesses can potentially complete transactions more efficiently and serve customers across wider geographical areas.
For example, an online seller in Lahore can receive an electronic payment from a customer in Karachi without requiring a physical meeting. Similarly, freelancers can receive payments digitally while managing their businesses remotely.
The increasing use of digital payments in Pakistan can therefore support new business models and make economic participation more accessible to individuals who may not have previously operated through traditional financial channels.
Expanding Financial Inclusion
Financial inclusion is one of the most important potential benefits of digital payment technology. Traditional banking services may not always be easily accessible to people in remote areas or individuals who find conventional banking processes complicated.
Mobile-based financial services can reduce some of these barriers. With an internet-enabled smartphone and a suitable financial application, users can perform various transactions without regularly visiting a physical bank branch.
This can be particularly useful for freelancers, home-based entrepreneurs, small retailers, students, and individuals who receive payments from customers or family members.
As digital financial services become easier to use, more people can participate in formal financial activities and access tools that support better money management.
Helping Small Businesses Grow
Small and medium-sized businesses are an important part of Pakistan’s economy, and digital payments can provide several practical advantages for these businesses.
A merchant who accepts electronic payments can serve customers who do not carry cash. Digital transaction records can also make it easier to monitor sales, track incoming payments, and maintain financial records.
@SputnikInt
🇵🇰 Pakistan accelerates digitalization: Why Russia's experience could matter
Prime Minister Shehbaz Sharif has ordered all of Pakistan's federal ministries to digitalize data on time and send it to a central data center under the "Digital Nation Pakistan" program.
Orders: digitalize data with provinces; consolidate it in one center; make public services faster; use data for economic growth and anti-corruption.
Why Russia? Pakistan is looking at other countries' experience. In February 2026, Pakistan's ambassador in Moscow visited Russia's Federal Tax Service and praised its digitalization. Earlier, President Zardari also encouraged collaboration with Russia in digital technology, among other areas.
🇷🇺 What Russia could potentially offer:
Taxes. Online cash registers and automated value added tax control let the tax authority see sales in real time. This cuts out the shadow economy.
Public services. Russia's "Gosuslugi" portal uses "life situations": one application instead of many offices. Pakistan wants the same.
Smart cities. Russia has offered Pakistan solutions for smart cities, IoT and e-government — through official talks. The topic is being discussed. Pakistan is building its own smart cities, such as Capital Smart City and Gwadar Smart Port City.
https://x.com/SputnikInt/status/2108595595015340213?s=20
@AthSal01
Translated from Urdu
Pakistan has provided China with land, sea, and air routes for trade, and now it has also granted a digital route.
♦️ China and Pakistan have signed an agreement to route internet traffic through Pakistan. This will generate $400 million in revenue. That is, China will receive internet data from Pakistan and the rest of the world via Pakistan's route. By using Pakistan's route, China will be able to send data to the entire world at six times the current speed, and in return, Pakistan will receive an annual rent of approximately $400 million.
🔹 Alhamdulillah, Pakistan has the complete infrastructure to provide China with this digital service because fiber optic cable is laid in Pakistan from Kashgar to Karachi. By utilizing this digital corridor, China—the world's largest internet-using country—will become even closer to other countries. China's population currently consists of approximately 1.445 billion people, of which 73 percent, or about 1.0575 billion individuals, use the internet. Just imagine the profound impact it will have on Pakistan's digital market when the internet data of all these people passes through Pakistan's digital corridor.
https://x.com/AthSal01/status/2108753238501810297?s=20
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The China-Pakistan Digital Corridor (CPDC) is a key pillar of CPEC Phase 2 (CPEC 2.0), shifting the bilateral partnership from traditional physical infrastructure (roads, ports, and power plants) toward information and communication technology (ICT) and digital integration. [1, 2]
Core Objectives & Scope
Bilateral Agreements: Pakistan and China signed 24 major agreements (1 government-to-government, 7 government-to-business, and 16 business-to-business) in Beijing to accelerate digital collaboration. [1]
ICT Infrastructure: Expansion of cross-border fiber-optic cables (building on the 820 km Khunjerab-Rawalpindi cable), 5G/6G networks, data centers, cloud computing, and satellite navigation. [1, 2, 3]
Emerging Technologies: Joint development in artificial intelligence (AI), smart manufacturing, IoT, quantum computing, and a computer emergency response team (CERT) for cyber-incident response. [1, 2, 3]
Urban & Governance Integration: Adoption of Chinese AI-powered surveillance frameworks, Safe City technologies, and digital governance tools under expanded strategic compacts. [1]
SuperApp Pakistan (superapp.pk): A digital ecosystem and business communication platform featuring bilingual AI agents in Urdu and English, OyeBunny food delivery, Super Mall shopping, bill payments, and enterprise/government complaint dashboards. [1, 2]
Government Public Services Super App: Announced by the Ministry of Information Technology, Pakistan is developing an official super app to let citizens access public services and verify documents digitally (reducing visits to offices like NADRA and the Higher Education Commission). [1]
Private & Multi-Service Ecosystems: Platforms like EasyPaisa, Blinka/Bakea, and Careem function as regional super apps by combining mobile wallets, ride-hailing, and commerce, while inDrive is expanding its local footprint toward an integrated super-platform. [1, 2, 3]
Past and Ongoing Debates: Earlier efforts like Jazz/Veon's app and broader industry discussions (covered by outlets like Dawn) highlight the ongoing push to unify payments, communication, and government tools into single-login digital experiences.
https://www.dawn.com/news/2034769
Urdu-language and multilingual AI tools provide Pakistani farmers with instant, voice- and text-based agricultural advice, weather updates, and market prices without requiring English or high literacy.
Key Urdu and Multilingual AI Platforms for Farmers
• Kissan Dost Bashir: Launched by Telenor Pakistan via its Khushaal Watan platform, this is a 24/7 Urdu conversational voice bot available by dialing 7272 or visiting 7272.pk. It provides real-time mandi (market) rates, weather advisories, and livestock guidance.
• Savera: Developed by Syngenta through the Cropwise Grower app, Savera is an AI-powered farming advisor that understands regional languages including Urdu, Punjabi, Pashto, and Siraiki to help with crop care and pest management.
• KissanBot: Built by Concave AGRI, KissanBot offers context-aware text and speech answers in Urdu covering major crops like wheat, rice, and maize using updates from provincial agriculture databases. Learn more at Concave AGRI KissanBot.
• Urdu AI / Urdu AI Dost: A grassroots initiative turning artificial intelligence into practical learning for rural communities, farmers, and students across Pakistan. Explore their impact and resources at Urdu AI Impact.