Internet in Pakistan: How much loss could firewall incur to economy?

Pakistan Software Houses Association warns that firewall will cause loss worth $300 million: Pasha - Aaj News
A representational image. — Pixabay
A representational image. — Pixabay

Pakistan's proposed national firewall, aimed at regulating internet content, could have severe economic repercussions. The firewall, designed to filter and control online information, may deter foreign investments and stifle the burgeoning tech sector.

Pakistan's digital economy, valued at over $3.5 billion, heavily relies on unrestricted internet access for e-commerce, freelancing, and digital services. The firewall could disrupt these sectors, leading to potential losses of hundreds of millions of dollars.

Condemning the consequences of the hastily implemented national firewall, Pakistan Software Houses Association (P@SHA) Senior Vice Chairman Ali demanded a review and consultation with the IT sector.

In a statement on Thursday, Ihsan said that the imposition of the firewall has triggered enormous challenges, with prolonged internet disconnections and erratic VPN performance threatening a complete meltdown of business operations.

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“These disruptions are not mere inconveniences, but a direct, tangible and aggressive assault on the industry’s viability — inflicting devastating financial losses estimated to reach $300 million, which can further increase exponentially,” he said.

“As per industry sources, clients are looking for reliable partners. Even if they want to give projects to us due to relationship development, they still prefer not to do so due to their perception of our unreliable connectivity,” Ihsan added.

P@SHA demanded an immediate and unconditional halt to this digital siege. “We insist on a comprehensive, transparent and collaborative approach to cybersecurity — one that does not destroy the IT industry due to misplaced priorities.”

“The government must engage in genuine dialogue with industry stakeholders to develop a cybersecurity framework that safeguards national interests without stifling innovation and growth,” Ihsan said.