By: Bisma Rafique

Pakistan has established itself as a global leader in freelancing, ranking 4th in the world according to Payoneer’s Global Gig Economy Index. A youthful, tech-savvy population, with 64% of citizens under the age of 30, has fueled the rapid growth of the gig economy. This thriving sector is contributing significantly to Pakistan’s economy. In 2023 alone, freelancers generated over $500 million in export remittances, which serves as crucial support for the country, especially amid financial instability. However, despite these advancements, Pakistan faces significant digital challenges. Limited internet access, poor infrastructure, and low digital literacy have put Pakistan’s global competitiveness at serious risk.

As the world increasingly embraces digital solutions, Pakistan is struggling with an internet slowdown that is adversely affecting economic progress. Slow internet is more than just a daily inconvenience; it is a barrier to growth, particularly in key sectors like IT services, e-commerce, and remote work. Internet use in Pakistan has surged in recent years, but the country’s digital infrastructure has not kept pace.

Shaza Fatima Khawaja, the Minister of State for IT & Telecommunication, has acknowledged the problem. She pointed out that one of the major reasons for the internet slowdown is the widespread use of VPNs, which has further strained the system’s already limited capacity. While VPNs allow users to bypass government restrictions, their heavy use has placed additional pressure on Pakistan’s outdated network. With over a million Pakistanis employed in remote jobs and freelancing, these digital roadblocks are having widespread effects. The unreliable internet threatens their ability to perform. Arooj Fayyaz, who works remotely for the US-based IT education platform JOBSKILLSHARE, voiced her concerns: “Working on critical projects has become very difficult. I have missed deadlines due to internet issues, and during important meetings, it is tough to stay engaged with frequent connection drops. This is frustrating for me and my clients.”

The ongoing internet slowdown threatens this growing source of revenue. Reduced efficiency and project delays are leading to lost contracts, tarnishing Pakistan’s reputation as a reliable hub for outsourced talent. If these internet issues persist, Pakistan risks losing clients to countries with better digital infrastructure, leading to a loss of foreign earnings and thousands of jobs for skilled workers. E-commerce, another rising sector, could also face challenges as businesses struggle to maintain consistent online services. This could harm consumer trust and further slow economic growth.

To address these pressing challenges, Pakistan must invest in modernizing its digital infrastructure. This includes expanding internet access, improving bandwidth, and enhancing overall service quality. By prioritizing these improvements, Pakistan can create an enabling environment for its freelancers and businesses, allowing them to thrive in the global market. A robust IT infrastructure will not only enhance productivity but also attract foreign investment and foster economic growth. With the right strategies in place, Pakistan can harness its digital potential and secure its position in the rapidly evolving global economy. In a world increasingly driven by technology, ensuring a reliable internet connection is essential for Pakistan’s success and prosperity.

The writer is a freelance journalist. She tweets/posts @bismarafique and can be reached at: [email protected]