Islamabad, Aug 22: The current decrease in internet speed across the country is posing a variety of problems for all sectors, including public sector activities, health, education, banking & finance, and commerce.
Prime Minister Shehbaz Sharif has been urged by the Telecom Operators Association (TOA) to step in and address the ongoing internet delay issue.
They emphasized the following problems:
Impact on telecom sector: Sadly, the telecom industry in Pakistan already faces financial difficulties. The recent slowdown in internet speed will cause further losses to the industry, estimated at Rs. 12 billion (yearly). This is because daily internet traffic in the nation has decreased by roughly 6,400 Terabytes as a result of the slowdown. The telecom industry will see even more financial strain as a result. Coincidentally, the exchequer will lose more than Rs. 3 billion a year as a result of the telecom sector’s declining revenue. The telecom industry’s state is crucial since it supports the operations and expansion of other industries.
Impact on freelancers: The fourth-largest freelancer population in the world resides in Pakistan, and it makes a substantial contribution to our IT exports. Freelancers have been severely harmed by the internet delay; many have had their projects terminated or are in danger of being terminated. Pakistani IT freelancers are now offline on Fiverr, one of the biggest marketplaces for independent contractors in the field.
Impact on business and national GDP: The economy as a whole is suffering from the internet slowdown, including banking and financial services, manufacturing, e-citizen services, education, health, and commerce. According to a recent Deloitte analysis, a small nation with a population of 40 million, a per capita GDP of USD 6,000, and a 5% broadband penetration rate might suffer up to USD 3 million in daily economic losses due to internet disruption. Furthermore, Pakistan’s economy will be negatively impacted to a far higher extent due to its larger population.
Impact on the IT industry: We must take rapid remedial action to restore the nation’s internet speed immediately in order to maintain an IT ecosystem, as appropriate connectivity is necessary for growth to reach USD 25 billion in IT exports in the coming years. Put aside hopes for future IT exports, the current state of affairs is so bad that exports of IT are currently in jeopardy.
Effect on the workforce in blue-collar jobs:For communication with their clients and potential clients, the great majority of laborers—plumbers, electricians, construction workers, gardeners, etc.—rely on the Internet. Regretfully, their capacity to make a decent livelihood is currently in jeopardy. The internet slowness will have a negative financial impact on Pakistan’s lower middle class.
Impact on new FDI: International investors avoid markets with inadequate communication infrastructure. One could argue that digital highways carry more traffic than traditional roads and highways in today’s digitally connected world, where the internet is at the top of the communication infrastructure hierarchy. The status of Pakistan’s internet at the moment will discourage fresh foreign direct investment
