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Pakistan Telecom and IT updates

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Govt Announces Big Relief for Freelancers

In the budget for 2023-24, the federal government exempted freelancers from sales tax registration and returns on annual exports of up to $24,000.

During his budget speech in the National Assembly, Ishaq Dar stated that IT and IT Enabled Services are the fastest growing sectors of the economy and account for a significant share of exports; however, this sector is also suffering as a result of global economic problems.

He stated that he believes this sector will continue to be a growth engine in the coming years. Pakistan ranks second in the world in terms of Free Lancers doing business. The following steps are being taken to address their problems as well as the problems of the sector as a whole: A 0.25% income tax break is in effect to encourage exports.

This facility, according to the finance minister, will be extended until June 30, 2026. It used to be difficult for freelancers to collect monthly sales tax returns. To help the business environment, Free Lancers have been exempted from sales tax registration and returns on exports up to $24,000 per year.

He stated that IT and IT Enabled Service Providers would be able to import tax-free software and hardware worth 1% of their exports. The annual limit for these imports has been set at $50,000. It will be ensured that IT and IT Services Exporters receive Automated Exemption Certificates.

According to Ishaq Dar, the IT sector has been granted SME status, allowing it to take advantage of lower income tax rates. Venture capital is essential for mentoring IT companies. A Venture Capital Fund will be established with the budgeted 5 billion rupees to provide business capital. The current sales tax rate on ICT-related IT services will be reduced from 15% to 5%.

Banks will benefit from a 20% concessional tax in the IT sector, according to the finance minister, to encourage lending. 50 thousand IT graduates will receive professional training in the coming fiscal year.
 
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Under Construction Information Technology - IT Park in Islamabad in collaboration with South Korea.

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Pakistan’s tech frontier needs more women pioneers

Dilaira Dubash
June 28, 2023

In the bustling tech hub of Karachi to the innovation centers in Lahore, the story of Pakistan’s technological progress has been nothing short of remarkable.

Yet, a critical narrative remains largely untold: the gender gap that pervades this rising tech landscape.

If you’re a woman in Pakistan, chances are you’re less likely to have access to tech or be involved in its creation. In an era where technology is the backbone of economic growth, this disparity is not just a social issue but an economic one, too.

Pakistan’s technology sector has experienced explosive growth in the past decade, attracting global investors and fostering promising startups. The gender gap, however, persists. Women make up just 14% of the IT workforce, according to the Pakistan Software Houses Association. The question begs, why?

One reason is societal norms that often discourage women from pursuing careers in tech. A study by the Pakistan Institute of Development Economics found that parents are less likely to invest in their daughters’ digital literacy compared to their sons. In a society where women are still expected to prioritise domestic roles, the path to a tech career can be strewn with obstacles.

An undeniable reality

Data from around the globe paints a telling picture. Globally, as of 2023, women make up only 26.7% of the tech workforce. A closer look at the sector reveals that only one in four roles in the GAFAM group (Google, Apple, Facebook, Amazon, and Microsoft) goes to women. In addition, according to a 2019 Silicon Valley Bank report, only 40% of tech startups have one or more women on their boards of directors.

These numbers are alarming but not surprising. The tech industry has long been dominated by a ‘bro culture’, with 71% of women reporting that they have worked in a tech company with a strong male bias. This kind of environment can often leave women feeling excluded, unsafe, and uncomfortable.

But what about Pakistan? We need to ask tough questions. What are our numbers? How many women in Pakistan are part of the tech workforce? How many are in leadership roles? How many are pursuing degrees in tech-related fields? Anecdotally, we know that the numbers are not promising, but it’s time we had concrete data to inform our strategies and policies.

Initiatives and strategies for change

Despite the dearth of data, we can’t ignore the elephant in the room. The gender gap in tech in Pakistan is real and needs immediate attention. A concerted effort is required from all stakeholders. Initiatives aimed at promoting digital literacy among girls, providing skill development opportunities and fostering a conducive work environment can go a long way in encouraging female participation.

To create a more equitable tech industry, we need to break down the stereotypes associated with women and technology. This starts with education. Introducing coding and digital literacy in the school curriculum from an early age can empower girls to see themselves as future tech leaders.

Moreover, companies need to take proactive steps to create inclusive work environments. This can range from offering flexible work hours, providing child care facilities, or conducting unconscious bias training to tackle gender bias head-on.

A significant area of concern is the venture capital funding gap. More than half of the women feel there is minimal VC funding in female-owned startups; as of 2020 only 2.3% of these companies received financing, Crunchbase figures show. Addressing this funding gap is crucial to support women entrepreneurs and foster innovation in the tech sector.

Pakistan’s tech industry is a burgeoning field with immense potential. But to fully realize this potential, we need all hands on deck. We need to ensure that our daughters have the same access to digital tools and opportunities as our sons. We need to foster a culture where women aren’t just consumers of technology, but creators, leaders, and innovators.

Inspiring figures and initiatives

However, the winds of change are blowing. Women in Pakistan are breaking the stereotypes, making their mark in the tech industry. Take for example Arfa Karim, who became the world’s youngest Microsoft Certified Professional at just nine years old. Sadly, Arfa is no longer with us, but her legacy continues to inspire young girls.

Innovative initiatives are also making a difference. WomenInTechPK, a community dedicated to empowering women in technology, provides networking opportunities, mentorship, and resources for women to excel in their tech careers. Then there is CodeGirls, a Karachi-based coding boot camp for girls and women that not only teaches technical skills but also provides career counseling and job placement services.

Government and private sector partnerships can also help bridge the gap. The Punjab Information Technology Board’s TechHub connects aspiring female tech entrepreneurs with resources and mentoring, while telecommunication companies like Telenor have launched digital literacy programs targeting rural women, where the gender gap is most pronounced.

In a significant move, UNDP Pakistan has joined hands with CIRCLE since 2019 to support the annual She-Loves-Tech competition in Pakistan. It aims to identify and accelerate the best tech entrepreneurs by offering an ecosystem of support through funding and a global community network. Over the last three years, this initiative has aided more than 130 women-led tech startups, illustrating the power of targeted support to encourage female tech entrepreneurship.

Future prospects

But these are just beginnings. As we chart the path forward, let us remember that diversity is not just about fairness; it’s about fostering creativity, innovation, and progress. By empowering women in tech, we stand to gain not just in terms of gender equality, but in the richness of ideas and the potential for growth in this exciting industry.

Ultimately, we need to have more conversations about gender inequality, involving both men and women. The tech industry in Pakistan is not an island; it reflects our societal norms and biases. Until we address these fundamental issues, achieving gender equality in tech will remain a distant dream.
 
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SIFC formation: unlocking FDI for tech sector​

With high investment in IT, export growth will accelerate and trade gap will narrow

Rafia Zakar
i
July 17, 2023


this is the era in which almost every institution will gravitate towards fintech we can take the examples of facebook tiktok foodpanda or careem all of which now have their own wallets says syed nadeem hussain chairman pfn photo file



“This is the era in which almost every institution will gravitate towards fintech. We can take the examples of Facebook, TikTok, FoodPanda or Careem, all of which now have their own wallets,” says Syed Nadeem Hussain, Chairman PFN. photo: file

KARACHI:
Pakistan has recently seen a welcome development vis-a-vis rapidly attracting, materialising and retaining foreign direct investment (FDI) through the formation of Special Investment Facilitation Council (SIFC) under a high-powered, holistic and inclusive leadership structure of top civilian and military offices, with a lot of muscle, clarity and decision-making prowess.

All through its economic history, Pakistan has been marred by an inefficient, bureaucratic and discourteous system of setting up new businesses – be it securing investments, establishing industry collaborations, licensing procedures, adopting legal frameworks for new technologies, regulatory environment, gran
ting financial, land or labour-related NOCs and repatriation of profits.
Though it is the prerogative of any country to regulate its economy, it needs to be competitive regionally and internationally in terms of cost and ease of doing business benchmarks.
In the peculiar case of Pakistan, there has never been any dearth of policies, HR competencies or intrinsic potentialities of the land or its economy but the systemic flaws that put us through a very low and below par trajectory of investments into the economy, and, to top it all, lack of streamlined, one-window and time-sensitive processes and procedures have played the role of the principal spoilsport.

In fact, throughout the last decade, Pakistan could never receive FDI above 1% of its gross domestic product (GDP).

To further decipher the international investment landscape, it has to be understood that any new investments the entrepreneurs or business groups will be making anywhere in the world, would be primarily in the new and emerging technologies or relocation of labour-intensive industries from advanced to developing economies – and, for emerging technologies, information and communication technologies (ICTs), software and app development, artificial intelligence (AI) and machine learning, automation and robotics, blockchain technologies, virtual and augmented reality, space sciences and allied industries, bio and nano-technologies and business process re-engineering (BPR) will take the upwards of 80% of all investments throughout the globe.

Therefore, with a population of 249.5 million and a silver lining of 64% young populace, Pakistan is one of the most well-placed tech destinations for the world – without an iota of doubt, provided we offer them with a one-window, one-roof facilitative, incentivising and encouraging mechanism to set up their businesses, which is exactly the core promise of SIFC.

Along the lines, all we need to do is to enable various verticals of information technology and IT-enabled services’ ecosystem in the country through massive skill development programmes, tax holiday for a decade and supportive regulatory institutions.

The more investment the IT industry attracts through SIFC, the more rapid will be export growth, bridging of trade deficit and strengthening of foreign exchange reserves. That’s why SIFC is an instant hit among the tech fraternity of Pakistan.
 
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Expats, tourists allowed tax-free use of mobile for 120 days​

PM Shehbaz terms the initiative a good step to facilitate millions of overseas Pakistanis

Correspondent
July 18, 2023


photo reuters


ISLAMABAD:
In order to facilitate overseas Pakistanis and foreign nationals visiting the country as tourists, the government has inaugurated the online Temporary Mobile Phone Registration System.

The service will allow registration and usage of personal mobile phones by overseas Pakistanis and foreign nationals visiting the country for up to 120 days from the date of their arrival without any duty or tax.

Students and employees as well as foreign nationals visiting Pakistan for tourism or business purposes can benefit from the new facility.
 
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Pakistan’s IT sector, prospects and limitations​

The Frontier Post

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Information Technology has been largely ignored by successive Pakistani governments in the past that adversely affected Pakistan’s overall economic growth by pushing the South Asian economy to the last numbers in the region.

Pakistan’s IT sector grew from scratch due to the digitalization drive of government institutions which attracted foreign firms that brought basic IT infrastructure and technical expertise in the country.

Awfully, Pakistani leaders always sought to promote their business interests through nepotism and cartelization in various fields which resulted in unsustainable growth and concentration of wealth in a limited circle of the society. The same happened in the poultry industry, solar energy, and some IT Projects in the country.

On the other India timely accessed the importance of Information Technology and welcomed American Tech giants to its nation in the mid 90s. Over the year, India became the world’s second largest hub of IT industry and currently ranked as the 40th most developed IT nation with an average revenue of $ 245 billion per annum. This is the reason that India generates more revenue from its IT exports than Saudi Arabia earns through the trade of black gold.

Unfortunately, this policy gap came up with drastic outcome after 2-3 decades as the incentivized and pro-business approach of Indian rulers transformed India into a major IT hub while selfish policies and mistaken priorities of the leaders converted Pakistan into a food and energy-deficient nation that faces an imminent risk of economic default any movement in the future.

Pakistan’s IT Sector has grown on its feet over the past two decades while the government support was no more than an offer of free-of-cost IT training to the youth particularly government officials to facilitate their office work only.

Interestingly, the former PTI government realized the importance of the IT industry and gave particular focus on increasing IT exports amid downgraded foreign trade in Textile, agriculture, and sports articles of the country.

During the last decade, Pakistan has emerged as one of the fasted growing IT exporters in the world, as this sector provides tangible profit without leveling heavy import/ production costs to the country.
 
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‘5G services to be launched in 10 months’

Kalbe Ali
August 30, 2023

ISLAMABAD: Caretaker Federal Minister for IT and Telecommunication Dr Umar Saif and Pakistan Telecommunication Authority (PTA) Chairman retired Maj Gen Hafeezur Rehman on Tuesday decided that the 5G services will be launched within 10 months.

Dr Umar Saif said that all the hurdles in the launch of 5G services will be removed on a priority basis, adding that issues relating to taxation, teledensity and spectrum will be addressed.

He said that effective measures will be taken for the provision of quality services to masses, and expressed the resolve to facilitate people through 5G auction.

Both the IT minister and the chairman PTA noted that that Pakistan ranks very low in terms of quality of service for cellular users at 79 out of 100 by the Inclusive Internet Index.

It was observed that one of the main reasons for this is the lack of investment in the telecom infrastructure.

The PTA officials told the minister that telecom operators in Pakistan only have 274 MHz spectrum to serve the 7th largest number of telecom users in the world, whereas, a single telecom operator in Australia uses over 345 MHz.

“For better telecom services, we must ensure immediate improvement in 4G infrastructure and accelerate the rollout of 5G in Pakistan,” the PTA chief said.

Incidentally, the Ministry of IT and Telecom had announced to roll out 5G by the middle of 2023, and the ministry was vying to woo foreign investors too, however, the local telecom players have declared a digital emergency due to the high cost of doing business and restrictions on imports of components and technical parts.
 
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PTA and TikTok sign MoU to foster a safer digital environment for Pakistani youth​

By Tahir Ali
Sep 8, 2023

ISLAMABAD - The Pakistan Telecommunication Authority (PTA) and TikTok signed a Memorandum of Understanding (MoU) at PTA Headquarters Islamabad on Thursday.

This collaboration aims to promote digital safety in government schools across Pakistan through a multifaceted approach. The program includes comprehensive training programs and guidelines for teachers, parents, and students that will be covered through workshops, seminars, webinars, awareness videos, etc. to shed light on the legitimate use of social media and tackle associated risks.
 
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First 5G Innovation Hackathon launched​

Staff Reporter , Dawn
Sep 27, 2023

Jazz, Pakistan’s largest digital operator, launched Pakistan’s first 5G Innovation Hackathon on Tuesday in collaboration with the National University of Sciences and Technology (Nust), NITB, and Code for Pakistan (CfP).

The groundbreaking initiative aims to harness the immense potential of 5G technology and other cutting-edge innovations to address critical challenges in Pakistan’s key sectors, including health, education, financial services, disaster management and climate change, agri-tech and industry.

The 5G Innovation Hackathon underscores the critical importance of fostering innovation and talent in the realm of 5G technology.

By bringing together bright minds, developers, and entrepreneurs, the hackathon serves as a breeding ground for groundbreaking ideas and solutions that will shape the future of telecommunications in Pakistan.

The event not only empowers local talent but also ensures that Pakistan remains at the forefront of the digital revolution, paving the way for a more connected and innovative future.

Chief Regulatory Affairs Officer, Jazz, Syed Fakhar Ahmed said: “Today, solutions to the longstanding challenges that face developing countries like Pakistan lie in technology.”

He said the country’s first 5G hackathon will help create viable solutions to key challenges while putting Pakistan on the global map of 5G innovation.

NITB CEO Baber Majid Bhatti said: “NITB sees the 5G Innovation Hackathon as a catalyst for Pakistan’s e-governance evolution. This event unites technology and governance, paving the way for tailored solutions that will enhance citizen services. By harnessing 5G’s potential, we’re nurturing a digitally connected Pakistan, building capacity, and fostering innovation. Together, we’re redefining e-governance for a brighter future.”

The National Information Technology Board (NITB) is a consulting team of coordinated designers, developers, engineers, research writers, and management experts who bring design-led innovations and solutions to help government departments thrive.

The NITB develops and delivers sophisticated IT services, technologies, and apps for public departments.
Dr Hammad Cheema, Principal and Dean, SINES, Nust, said the event brought together the brightest minds in innovation and technology to ignite creative sparks that would shape the future.

He lauded Jazz, NITB and CfP for collaborating on this initiative as the country prepares to embark on breakthrough 5G-powered solutions that could reshape lives and livelihoods.

Code for Pakistan’s Chief Executive Officer Shaji Ahmed expressed excitement about the upcoming event, saying, “The 5G Innovation Hackathon represents a significant step towards harnessing technology for the betterment of society. By partnering with Jazz and Nust, we aim to create a platform where innovation can thrive and where solutions to pressing challenges in Pakistan can emerge. We believe this hackathon will serve as a catalyst for innovation, where diverse minds converge to address Pakistan’s most pressing challenges.”

The 5G Innovation Hackathon invites talented individuals, researchers, students, and professionals from various backgrounds to collaborate, innovate, and address critical challenges specific to Pakistan’s context.

He added that the project will leverage the power of technology to create real impact and drive positive change.
Code for Pakistan is a civic tech nonprofit leveraging technology and innovation to create accessible and citizen-centred governance solutions that serve all Pakistanis.
 
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First 5G Innovation Hackathon launched​

Dawn
Sep 27, 2023

Jazz, Pakistan’s largest digital operator, launched Pakistan’s first 5G Innovation Hackathon on Tuesday in collaboration with the National University of Sciences and Technology (Nust), NITB, and Code for Pakistan (CfP).

The groundbreaking initiative aims to harness the immense potential of 5G technology and other cutting-edge innovations to address critical challenges in Pakistan’s key sectors, including health, education, financial services, disaster management and climate change, agri-tech and industry.

The 5G Innovation Hackathon underscores the critical importance of fostering innovation and talent in the realm of 5G technology.

By bringing together bright minds, developers, and entrepreneurs, the hackathon serves as a breeding ground for groundbreaking ideas and solutions that will shape the future of telecommunications in Pakistan.

The event not only empowers local talent but also ensures that Pakistan remains at the forefront of the digital revolution, paving the way for a more connected and innovative future.

Chief Regulatory Affairs Officer, Jazz, Syed Fakhar Ahmed said: “Today, solutions to the longstanding challenges that face developing countries like Pakistan lie in technology.”

He said the country’s first 5G hackathon will help create viable solutions to key challenges while putting Pakistan on the global map of 5G innovation.

NITB CEOBaber Majid Bhatti said: “NITB sees the 5G Innovation Hackathon as a catalyst for Pakistan’s e-governance evolution. This event unites technology and governance, paving the way for tailored solutions that will enhance citizen services. By harnessing 5G’s potential, we’re nurturing a digitally connected Pakistan, building capacity, and fostering innovation. Together, we’re redefining e-governance for a brighter future.”

The National Information Technology Board (NITB) is a consulting team of coordinated designers, developers, engineers, research writers, and management experts who bring design-led innovations and solutions to help government departments thrive.

The NITB develops and delivers sophisticated IT services, technologies, and apps for public departments.

Dr Hammad Cheema, Principal and Dean, SINES, Nust, said the event brought together the brightest minds in innovation and technology to ignite creative sparks that would shape the future.

He lauded Jazz, NITB and CfP for collaborating on this initiative as the country prepares to embark on breakthrough 5G-powered solutions that could reshape lives and livelihoods.

Code for Pakistan’s Chief Executive Officer Shaji Ahmed expressed excitement about the upcoming event, saying, “The 5G Innovation Hackathon represents a significant step towards harnessing technology for the betterment of society.

By partnering with Jazz and Nust, we aim to create a platform where innovation can thrive and where solutions to pressing challenges in Pakistan can emerge. We believe this hackathon will serve as a catalyst for innovation, where diverse minds converge to address Pakistan’s most pressing challenges.”

The 5G Innovation Hackathon invites talented individuals, researchers, students, and professionals from various backgrounds to collaborate, innovate, and address critical challenges specific to Pakistan’s context.

He added that the project will leverage the power of technology to create real impact and drive positive change.

Code for Pakistan is a civic tech nonprofit leveraging technology and innovation to create accessible and citizen-centred governance solutions that serve all Pakistanis.
 
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Pakistan, Saudi Arabia sign deal to cooperate in IT sector

  • The understanding will facilitate Pakistani companies to work in Saudi Arabia, provide trained IT manpower to Saudi firms, and promote joint ventures
BR
October 1, 2023

Pakistan has signed a memorandum of understanding (MOU) with Saudi Arabia to work together in the field of information technology (IT), caretaker IT minister Umar Saif informed on Sunday.

The understanding will facilitate Pakistani companies to work in the Kingdom of Saudi Arabia (KSA), provide trained IT manpower to Saudi companies, promote joint ventures with Saudi firms, and establish a startup exchange programme with top Saudi tech incubators, the minister said.

“Strategically, we will work on establishing close cooperation to set up chip manufacturing industry in Pakistan and work on electric vehicles, lithium-ion batteries, agriculture technology, and mining technologies,” Saif wrote in a post on X, formerly Twitter.
 
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IT ministry notifies emergency rules to bolster cybersecurity

Kalbe Ali
October 13, 2023

ISLAMABAD: The Ministry of IT and Telecommunication (MoITT) on Thursday notified the Computer Emergency Response Team (CERT) Rules 2023 to counter cyber threats against government data.

In a message on X (formerly Twitter), IT Minister Dr Umar Saif emphasised the need to protect Pakistan’s cyberspace against cyberattacks.

“Today we have taken the first step in establishing a National CERT for Pakistan, our national CERT and subsequent sectoral CERTs will provide the institutional framework and capability to protect Pakistan’s cyber space, and ensure swift responses in case of cyberattacks.”

Later in a statement, Dr Umar Saif said that this coordinated approach will ensures a robust defence against cyber threats. He said that as part of these new rules, the national security operations centre will also be established to facilitate the practical implementation of these regulations.
National security operations centre to implement regulations

Under the CERT Rules, both National and Sectoral-level CERTs will be established and the teams will be responsible to monitor and safeguard Pakistan’s cyberspace round the clock, including holidays.

One National CERT, funded by the Ministry of IT, will maintain close coordination with various Sectoral CERT teams, providing timely assistance when needed.

Its primary responsibility will be to coordinate between different CERTs in response to threats or attacks on systems, critical infrastructure data, or widespread information system attacks in Pakistan.

The Government CERT, responsible for cybersecurity in the public sector at federal and provincial levels, includes federal and provincial government CERTs. It serves as a coordinator between the national and sectoral CERTs, regularly reporting information and feedback to the National CERT.

Additionally, there will be a Critical Information Infrastructure (CII) CERT to oversee and coordinate between the National CERT and Sectoral CERTs. Sectoral CERTs encompass government and regulatory authorities, with local government CERTs falling under the respective provincial CERTs.

The CERTs will be established according to the composition outlined in the rules.
 
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