ISLAMABAD: Pakistani who interacts with foreigners has likely mastered the art of navigating tough questions about the state of the country — democracy, human rights, and security often dominate such conversations. These exchanges, though uncomfortable, were once limited to theoretical concerns.
However, the narrative has shifted dramatically in recent years. For those working with international clients, the questions are no longer about visiting Pakistan but about its ability to deliver. “Will you be able to complete the project with the internet situation there?” is now a common query.
This shift is a harsh reality check for Pakistan’s digital economy, which already faces challenges such as macroeconomic uncertainty, a lack of capital, and a talent crunch. The latest addition to this list — frequent internet shutdowns — strikes at the very core of modern business operations.
According to **Top10VPN**, Pakistan ranked second globally in 2024 for the duration of internet shutdowns, clocking a staggering 1,861 hours. Only Myanmar fared worse. These disruptions cost Pakistan an estimated $351 million, again placing the country second globally in terms of economic loss. The scale of the impact is unparalleled, affecting 83 million users and accounting for over 40% of disruptions among the top 15 most vulnerable countries.
Even more troubling is the sharp increase in shutdowns. In 2023, Pakistan faced 259 hours of internet blackouts, but in 2024, this number surged by 619%, propelling the country from seventh to second place. Correspondingly, the financial losses rose by $114 million.
The Pakistan Software Houses Association (P@SHA) estimates that every hour of internet disruption costs the country $1 million. For an economy grappling with recurring balance of payments crises, the information and communication technology (ICT) sector has been a rare bright spot. In the first 11 months of 2024, it contributed $3.3 billion in exports, trailing only the textile and food sectors. Within the services industry, ICT is the only category consistently generating a surplus.
While shutdowns don’t entirely erase this contribution, they significantly increase operational costs for tech companies. This discourages businesses from bringing back foreign exchange beyond what is absolutely necessary, worsening the already substantial problem of undocumented exports, which are estimated to rival the officially recorded figures.
Moreover, internet usage in Pakistan has seen a troubling decline. Data from **Cloudflare** reveals a consistent drop in web traffic throughout 2024, with only 30 days showing positive growth. Even during these brief spikes, Pakistan’s peak growth rate was just 3%, compared to a global average of 17%.
Quality of service is another concern. Pakistan’s average download speed stands at a mere 22 Mbps, far behind regional peers like the Philippines (97 Mbps), Bangladesh (37 Mbps), and Indonesia (31 Mbps).
These issues also contribute to a broader brain drain. For young, talented Pakistanis, the incentives to stay are dwindling. The value of their hard-earned money has halved, and essential goods are increasingly out of reach. With few rights to begin with, even the freedom to vent online is now under threat.
Pakistan’s internet shutdowns are not just an economic cost but a social and psychological burden on its citizens. It’s time for policymakers to recognize the damage being inflicted and ensure the internet remains an enabler, not a casualty, of the nation’s progress. Updated story originally appeared in Dawn
