Federal Minister for Information Technology and Telecommunication (MoITT), Ms. Shaza Fatima Khawaja, officially inaugurated ‘The Innovation Hive’ by cutting the ribbon at an event organized by the United States Educational Foundation in Pakistan (USEFP). The prestigious ceremony was attended by Ms. Natalie Baker, Chargé d’Affaires at the U.S. Embassy, Dr. Mazhar H. Qureshi, CEO of Stewart Pakistan, Mr. Mazhar Awan, Director of Alumni Affairs at USEFP, alongside other prominent dignitaries.
Addressing the ceremony, the Federal Minister expressed her gratitude to the U.S. Embassy and the USEFP team, stating that ‘The Innovation Hive’ is not merely a building or an office space, but a strong bridge that will provide Pakistani entrepreneurs direct access to the U.S. market and investors without having to leave the country, while creating vast opportunities for young talent to excel.
Highlighting the historical relations and economic cooperation between both nations, the Federal Minister noted that: The United States remains Pakistan’s largest export market, accounting for approximately 20% of Pakistan’s total exports in FY 2025-26.
Bilateral trade volume surpassed $8 billion in 2025. Under the July 2025 Pakistan-U.S. trade agreement, U.S. import duties were reduced on IT services, textiles, and other key sectors, while Pakistan eliminated a 5% digital services tax as a gesture of goodwill.
The Federal Minister shared that the enterprise value of Pakistan’s VC-backed startups has crossed $4 billion:
In 2025, startups raised $74.2 million in funding. Funding for female-founded or co-founded startups grew from $5.5 million in 2024 to $10.1 million in 2025. The Innovation Hive’ will serve as a permanent channel connecting Pakistani talent directly to U.S. market opportunities, mentorship, and alumni networks.
Highlighting key initiatives under the Ministry of IT & Telecommunication, the Federal Minister emphasized:
- Ignite: Supported over 2,350 startups and generated more than 185,000 jobs through its 9 National Incubation Centers (NICs).
- Pakistan Startup Fund (PSF): De-risks U.S. investor participation by offering up to 30% equity-free funding without government board seats.
- Special Technology Zones Authority (STZA): Provides a 10-year tax and customs exemption package for technology and AI enterprises.
Concluding her address, the Federal Minister stated:
“The U.S. market you are trying to reach is no longer across an ocean; it now has an address in Islamabad. This bridge reflects the shared ambition of both nations.”
At the conclusion of the event, the Federal Minister toured various sections of the United States Educational Foundation in Pakistan (USEFP), where she was briefed on the facility and its operational setup.
