Pakistan’s Internet Shutdowns Caused Business Losses of Over Rs. 1.3 Billion – Startup Pakistan

Pakistan’s frequent internet shutdowns are having a serious negative effect on the country’s economy, especially for businesses that operate online.

A recent report from the Overseas Investors Chamber of Commerce and Industry (OICCI) reveals that these internet disruptions have caused a direct loss of 0.57% of the country’s GDP, which is about Rs 1.3 billion. When considering indirect effects, the total economic impact for 2023 rises to approximately Rs 1.7 billion.

One major shutdown in August 2023 has had a significant impact on e-commerce, leading to a 30% decrease in revenue for online businesses.

Experts emphasize that, to improve the digital economy, Pakistan needs to enhance internet accessibility and invest more in digital infrastructure. Without these improvements, the trend of internet blackouts could continue to impede economic growth in today’s digital world.