Telenor, Invest2Innovate & STZA Launch Pakistan Startup Policy Brief

Pakistan’s startup sector took a step toward policy-driven growth with the launch of the Pakistan Startup Policy Brief titled “Closing the Funding Gap for Startups in Pakistan.” The event, hosted at Telenor Pakistan’s ‘345’ campus in Gulberg Greens, Islamabad, was a collaborative initiative by Telenor Pakistan, Invest2Innovate (i2i), and the Special Technology Zones Authority (STZA), with support from Telenor Velocity, Ignite, and Visa.

The policy brief provides a reform roadmap to support the local startup ecosystem by focusing on four key areas: regulatory and tax reform, broader access to funding, exit and liquidity mechanisms via capital markets, and the development of entrepreneurial support infrastructure. The document is informed by international best practices and consultations with key stakeholders in the sector.

The launch was attended by public and private sector representatives, including Syed Nadir Hussain Shah (Project Director IT & Telecom, SIFC), Khurrum Ashfaque (CEO, Telenor Pakistan), Sarah Munir (CEO, Invest2Innovate), Hamza Saeed Orakzai (Chief Market Development Officer, STZA), Bilal Abbasi (GM, Ignite), Zeeshan Khattak (Commissioner, SECP), and Ali Aamir (Visa Pakistan).

Commenting on the initiative, Khurrum Ashfaque noted that accessible and flexible funding is critical for startups to scale and integrate into the digital economy. “This policy brief outlines necessary steps toward building a sustainable innovation ecosystem,” he stated.

Syed Nadir Hussain Shah emphasized that the brief aligns with Pakistan’s broader economic and investment goals. “SIFC supports initiatives that foster innovation and strengthen Pakistan’s position as a regional technology hub,” he said.

Sarah Munir of i2i highlighted the importance of structural reforms: “Closing Pakistan’s startup funding gap isn’t just about capital—it’s about ensuring the right environment exists for investment to flow.”

Pakistan’s startup ecosystem has expanded in recent years, driven by fintech, e-commerce, and logistics. Startup funding peaked at $355 million in 2022, but by 2024, investment had dropped by 88%, underlining the urgency for policy intervention. The e-commerce sector hit $5.2 billion in 2023, while IT exports totaled $3.2 billion in FY24.

Hamza Saeed of STZA reiterated the importance of collaboration between government, academia, and industry. “This policy brief identifies key challenges and suggests policy tools to help startups contribute more effectively to job creation and technological development,” he noted.

The Pakistan Startup Policy Brief aims to guide the next phase of ecosystem growth by addressing systemic funding barriers and supporting innovation through regulatory clarity and investor confidence. The initiative reflects a broader commitment to building an enabling environment for startups in Pakistan.