Stance:: Digital Transformation Brings Innovations, Growth and Improved Governance
Stance:: Digital Transformation Brings Innovations, Growth and Improved Governance
Stance:: Digital Transformation Brings Innovations, Growth and Improved Governance
Digitalization - A Revolution in Itself, Is Redefining the Way People Live, Interact, Transact and
Develop As One World. The Impact Of Digital Change Is Rapid And Far Reaching. Never Have
Individuals, Businesses And Nations Been So Dependent On Technology, As They Are Today.
The Case For Digitalization Needs No Winning Arguments. Nations Becoming Increasingly Digital
Have Experienced Growth And Productivity In Their Economies And Businesses, Leading To
More Jobs, Higher Levels Of Innovation, And Better Quality Of Life.
Sixty-four percent of Pakistan’s 210 million population is below the age of 30. This equates to
about 135 million Millennials – a generation perceived to be the driver of technological
innovation across the globe. (Pakistan Census Data)
The median age of ‘digitally savvy’ youth demographic for Pakistan is 22 years. The average for
most other countries is much higher. (UNDP, 2018)
INTRODUCTION:
Technology has reduced distances and connected people across continents, turning the
world into a true global village. In today’s world, nearly all of us wake up and instinctively
reach out for our smartphones to check our email and social media updates, grab news bites,
and engage in conversations. Many of us call the cab to work, get the previous day’s closing
numbers, look for updates from our favorite brands, send or receive money, read a page or
two from our favorite book, and a lot more all through our cell phones. The tech marvels we
could not imagine ever coming out of the science fiction and into the real world are more
than commonplace today.
Digital Pakistan Policy:
In 2018, the country approved its first ever Digital Pakistan Policy to transform the IT and other
sectors of economy for an enhanced economic growth through digitalisation. Under the
landmark policy, the country aims to double its IT and ITeS exports by 2020. The IT industry is
already among the top five net exporters of the country with the highest net exports in the
services industries. The reported FDI inflow in the ICT sector (IT & Telecom) for the period July
2018-January 2019 is $114.4 million.
1. e-government:
Transformation of public services through e-government is a proven way of improving
public service delivery while increasing transparency of the government. The
Canadian city, Regina’s, portal for public access of city services and utilities is an
example here. A good step in this direction is the Pakistani government’s Citizen
Portal that is an integrated citizens’ grievance redressal system connecting all
government organisations, at both federal and provincial levels. A similar portal for
Pakistani citizens to access services and utilities while on-the-go would be a great
step forward.
2. National Database and Registration Authority (NADRA):
The National Database and Registration Authority (NADRA) system is a brilliant initiative
and is a foundational advantage Pakistan has over others. Every citizen is captured on
the grid (which is a foundational requirement to build upon in the digital landscape).
the Device Identification Registration and Blocking System (DIRBS) recently launched by
the Pakistan Telecommunication Authority (PTA) could increase the average price of a
mobile phone in the Pakistani market, as legal handsets are generally more expensive
than counterfeit and illegal devices, unless it is mitigated by government measures,
aimed at improving the affordability of handsets.
6. ICT sector:
Working more closely with the ICT sector, the Pakistani government can harness
technology to govern better and address challenges more effectively. A great example
here is the Kent Council UK’s collaboration with Microsoft to harness the power of
cloud and applying innovative mobile technologies in local communities to
contextualise citizens’ needs and preferences, provide relevant on-the-spot offers,
and access markets that were previously untapped. Similarly, Telenor Pakistan’s
mAgri service “Khushaal Zamindaar” also contextualises farmer needs and provides
location-specific weather forecast along with contextual agronomic advisory for
smallholder farmers.
Possibly the biggest game changer in terms of internet access has come from Pak-China
Optical Fibre Cable (OFC), a CPEC project which forms the land-based communication
link between Pakistan and China. The 820-kilometre-long fibre-optic cable is expected to
extend down to Gwadar in the long term, providing connectivity to far-flung areas along
the western border and Balochistan.
Aside from the OFC, China is also working with Pakistan to set up a new submarine cable
with landing routes in Karachi and Gwadar, further ensuring faster connections and
lowering the likelihood of a major internet breakdown in the country. Huawei claims the
deployment of PEACE (Pakistan East Africa Cable) started this year and will be
completed by end of 2019.
CHALLENGES IN DIGITILIZATION:
1) POLICY MAKING GAP:
Gaps in policy making
Ineffectiveness in policy implementation
Discrepencies in policy ownership and governance
2) Limited digital services:
Limited provision of e-services
Scarcity of public private partnership
3) Environmental barriers :
Absence of ad
CONCLUSION:
Pakistan is considered amongst one of the major emerging global economies and as we aim
for the knowledge economy, it’s only through digitalisation on the government and people
levels that we can pave the way for it. Despite faring low on digital participation metrics,
Pakistan has made great progress on achieving social equality and transforming
underperforming industries. The ICT sector of Pakistan, especially, has been the one actively
supporting the country in its pursuit of digitalisation with a plethora of innovative initiatives
to empower citizens and industries. But, our governance still has a lot of room for
improvement as we continue to face longstanding social and economic challenges.
Apart from all that, it is a good indicator that in 2018, Pakistan announced its first-ever digital
policy. The policy said, “Promote the use of technology in education, health, agriculture and
other key socio-economic sectors. Encourage the use of ICT in public schools and ensure they
are online and have a meaningful impact on the current education eco-system in a phased
manner.”
Further, about e/m-commerce, it explained, “Enhance the current market size of e/m-
commerce. According to some estimates, the market carries an enormous growth potential due
to exponential growth in broadband subscribers from 3.7 million in 2013 to over 44.3 million in
2017 and increasing. With these growth trends projected to persist in the future, overseas
investments will continue to grow in e-commerce.”
The digitalisation has shifted the economy from a largely physical to a software-controlled
economy
The policy must be implemented in its true spirits, and the government should have a kind of
assessment after a few years whether to know the policy is working or been implemented.
Pakistan has about 60 per cent of its 207 million population in the 15-29 years age group;
signifying a massive human and knowledge capital. There are more than 2,000 IT companies
and call centres. The number is increasing every year. There are over 0.3 million English-
speaking IT professionals with expertise in the current and emerging IT products and
technologies. Besides, more than 20,000 IT graduates and engineers are being produced each
year. All this knowledge, companies and the human force need to be capitalised for the
country’s social and economic benefits.
The digital transformation is often described as a new business model or a reshaping of existing
business models. It is driven by several factors. Companies are vulnerable to these new
technologies because it has broken down market barriers for new disruptive competitors (eg
Careem, Uber, etc). Industries, such as publishing, media or music, had to undertake deep
transformations, especially by digitising assets. New technologies are a door opener to an
extended market. They need a company to regulate the business model accordingly. High and
fluctuant anticipation from users with profound knowledge of new technologies users is
determined to practice modified and cutting-edge technologies.
To conclude, Pakistan needs to organise and enhance all these skills, expertise and knowledge
through stimulating a digital transformation in all walks of life so that maximum socio-economic
benefits could be drawn out.
As Pakistan climbs out of the war against terrorism, it is well on its way to development, both
economic and digital, according to a recent article that appeared on the World Economic
Forum (WEF).
With a current economic growth rate of 5.8 per cent, investor confidence in the country has
improved, the WEF report says. Earlier this month, Google's Head of Large Customer Marketing,
South Asia, Lars Anthonisen suggested entrepreneurs to consider expanding their campaigns to
Pakistan because the country was on its way to "produce one of the largest digital audiences in
the world".
CPEC is not only focusing on improving connectivity through proper infrastructure but also on
developing the digital sector in order to ensure that the initiative is successful. For instance, one
of the projects that is part of CPEC is the laying of 820 kilometres of fibre-optic cable, that will
connect more Pakistanis to the digital world.
The impact on the economy can also be significant. According to the Small and Medium
Enterprises (SMEs) development authority, about 90 per cent of businesses in Pakistan are
SMEs that have a 40 per cent share in the country annual gross domestic product.
Developments in the digital sector can help SMEs reach more consumers and achieve growth.