2 min read
The Asian Development Bank (ADB) has emphasized that Pakistan must improve its regulatory environment and infrastructure to strengthen the Pakistan IT sector and enhance digital exports, enabling the country to diversify its economy and boost export revenues.
In its recent statement, the Bank highlighted the need for the public sector to expand digital services to improve transparency and operational efficiency. It also noted that greater access to financing is crucial for enabling IT start-ups to drive innovation and help Pakistan integrate more effectively into the global digital economy.
These priorities may form part of ADB’s expanded focus under the upcoming Country Partnership Strategy (CPS), the Bank added.
ADB pointed out that its current support for Pakistan’s IT sector and digital transformation has been limited, with the industry not yet recognized as a distinct economic sector. However, the Bank has supported initiatives such as digital platforms for public investment management in public-private partnerships (PPPs), tax administration, and compliance risk systems for the Federal Board of Revenue (FBR).
The Bank also cited examples of information technology being utilized in mass rapid transit projects funded by ADB. As digitalization becomes more critical to Pakistan’s economic diversification efforts, the need for regulatory and infrastructure upgrades in the IT sector has grown more urgent.
The Bank concluded that while the government must expand digital services for better governance, the private sector faces challenges such as limited financing for IT start-ups, hindering their ability to innovate and elevate Pakistan’s global digital competitiveness.
