Broken Bandwidth, Broken Promises: Can Pakistan Still Go Digital?

Pakistan’s ambition to become a digitally empowered nation is confronting a hard reality. Despite policy efforts and early progress in building digital systems, the country’s global internet rankings and digital infrastructure gaps tell a troubling story.

According to the Speedtest Global Index, Pakistan ranks 141st out of 151 countries for broadband speed and 99th out of 110 for mobile internet. In an increasingly tech-driven global economy, these numbers are more than just statistics; they are indicators of a national digital lag that threatens to leave Pakistan behind.

The Digital Infrastructure Gap

A digital economy cannot thrive on policy rhetoric alone; it needs strong, reliable infrastructure. Yet Pakistan faces persistent issues:

• Frequent internet slowdowns and shutdowns, often due to political events or security measures, interrupt digital services and erode trust.
• Broadband access is uneven, with rural and remote areas still far behind urban centers in both speed and availability.
• The lack of investment in fiber-optic networks, 5G rollouts, and data centers is slowing the digitization of industries, government services, and small businesses.

Weak Cybersecurity Readiness

The SBP report also flags serious cybersecurity vulnerability. Pakistan’s performance in securing internet servers and critical infrastructure lags that of peer economies in South and Central Asia.

With increasing reliance on online platforms, Pakistan faces mounting risks of data breaches, malware attacks, and phishing scams. Yet public institutions remain under-resourced and underprepared for modern cyber threats.

Cybersecurity is not only a technical issue but a foundational one; weak protection undermines public trust and deters private sector investment in digital platforms.

Digital Public Infrastructure: A Mixed Bag

One of the few bright spots is Pakistan’s progress on Digital Public Infrastructure (DPI) Systems like:

• NADRA’s biometric identity framework
• SBP’s RAAST instant digital payment system
• The Cloud First Policy 2022
• The Digital Nation Act 2024

– all represent major policy and technological milestones.

DPI serves as the foundation for scalable, inclusive, and innovative digital services, allowing governments and private companies to build on shared systems and data.

However, experts note that Pakistan’s DPI ecosystem is still incomplete. Key areas, such as secure data sharing frameworks, digital postal systems, and interoperable registries, remain underdeveloped.

Worse yet, whatever momentum these initiatives generated is now being undermined by newly introduced, burdensome tax measures on digital services in the 2025–26 federal budget. Instead of incentivizing usage and innovation, the government has imposed heavy and poorly targeted taxation on e-commerce, fintech platforms, and other digital service providers, effectively penalizing the very sectors it claims to support. This contradiction not only limits the uptake of DPI but also risks discouraging private sector investment and innovation in an already fragile digital ecosystem.

Public Adoption: The Missing Link

While the digital economy expands, public participation remains lopsided. Mobile phone penetration is high, but internet usage remains low, especially among women, rural populations, and low-income groups. Similarly, digital literacy programs are limited, and online safety concerns, from scams to surveillance, undermine trust in digital platforms. Language barriers, affordability issues, and cultural resistance also play a role in low digital uptake.

Pakistan’s digital transformation can only succeed if citizens feel empowered, safe, and skilled to participate in digital spaces.

Pakistan’s digital transformation can only succeed if citizens feel empowered, safe, and skilled to participate in digital spaces. However, the recently introduced taxes on digital services, including those on e-commerce and fintech threaten to make digital access even more expensive and less attractive for the average consumer. Instead of incentivizing adoption, these fiscal measures risk widening the digital divide, discouraging low-income users from going online, and reinforcing public hesitation toward digital tools that are already seen as costly, unreliable, or unsafe.

The Risk of Falling Behind

If Pakistan fails to act swiftly, the consequences could be severe:

• Missed economic opportunities in the global digital services market
• Lower foreign investment in tech startups and IT outsourcing
• Widening social inequalities, as only urban, educated populations benefit from digital growth
• Stagnant progress on UN Sustainable Development Goals (SDGs), many of which now hinge on digital inclusion

As neighboring countries like India, Bangladesh, and Vietnam rapidly scale their DPI and broadband networks, Pakistan risks falling behind not just digitally but economically and geopolitically.

What Needs to Be Done

To address the growing challenges and unlock its digital potential, Pakistan must adopt a comprehensive, multi-dimensional approach. First, the country needs to strengthen its core digital infrastructure. This includes investing in nationwide broadband expansion, deploying fiber-optic networks across urban and rural regions, and accelerating the rollout of 5G through clear and business-friendly regulatory frameworks. Crucially, the government must put an end to internet shutdowns, ensuring that connectivity remains stable and uninterrupted except in the most extreme national emergencies.

Second, Pakistan must secure its digital ecosystem. This means enforcing robust data protection laws and cybersecurity standards across both public and private sectors. Establishing national-level Computer Emergency Response Teams (CERTs) with real-time monitoring and incident response capabilities is essential. Collaboration with the private sector and international partners to share threat intelligence and best practices can further strengthen the nation’s cyber resilience.

Third, the country needs to empower its citizens to actively participate in the digital economy. This involves launching nationwide digital literacy campaigns, especially targeting women, youth, and rural communities. Platforms and services must be designed with inclusivity in mind, accounting for local languages, accessibility needs, and affordability. Building public trust is equally important, which requires transparency in how digital services operate and giving users meaningful control over their personal data.

Together, these steps can pave the way for a secure, inclusive, and thriving digital Pakistan.

Conclusion: A Digital Tipping Point

Pakistan stands at a digital crossroads. With the right investments, governance, and citizen engagement, it can still realize its vision of a thriving digital economy. But without a sharp course correction in infrastructure, security, and inclusiveness, its digital future could be a promise unfulfilled.

The world is moving toward Web 3.0, AI-led automation, and smart governance. If Pakistan wants a seat at that table, it must act now or risk being left behind.

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