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Pakistan's Internet Firewall Threatens Economy with Potential US$300 Million Loss, Warns Association

Pakistan's economy at risk of losing US$300 million due to internet disruptions caused by a national firewall. Concerns raised by P@SHA over prolonged internet disconnections and potential financial losses. Government denies censorship intentions but faces criticism for lack of transparency.

Pakistan's internet firewall
Credit: REUTERS

Reports from local media indicate that Islamabad is in the process of rolling out an internet firewall aimed at monitoring and regulating content on social media platforms. Despite government assurances denying any censorship intentions, concerns persist within the industry.


Ali Ihsan, the senior vice chairman of P@SHA, expressed grave concerns over the impact of the firewall, citing prolonged internet disconnections and erratic VPN performance. He warned that these disruptions pose a severe threat to business operations, potentially leading to substantial financial losses estimated at US$300 million.


The Pakistan Telecommunication Authority and Pakistan's Minister of State for Information Technology, Shaza Fatima Khawaja, have yet to provide immediate responses to these concerns, leaving the industry apprehensive about the future implications of the firewall.


Khawaja previously stated to local media that the government's firewall implementation does not align with censorship objectives. However, the recent blocking of access to social media platform X following the February elections has raised questions about the government's motives.


P@SHA's statement criticised the lack of transparency surrounding the firewall, leading to a growing sense of distrust among internet users and Pakistan's global IT clients. There are fears that proprietary data and privacy could be compromised, further exacerbating the situation.


In response to these challenges, P@SHA has called for an urgent cessation of the digital restrictions and urged the government to collaborate with the industry to establish a robust cybersecurity framework to address concerns effectively.


Despite these obstacles, Pakistan's IT sector has shown resilience, with IT exports reaching $298 million in June, marking a 33% increase from the previous year. The fiscal year ending in June saw IT exports amounting to US$3.2 billion, reflecting a 24% rise from US$2.5 billion in the fiscal year 2023.

 
  • Pakistan's economy at risk of losing $300 million due to internet disruptions caused by a national firewall

  • Concerns raised by P@SHA over prolonged internet disconnections and potential financial losses

  • Government denies censorship intentions but faces criticism for lack of transparency


Source: REUTERS

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