In July 2025, the Asian Development Bank (ADB) published a report highlighting significant challenges facing Pakistan’s digital sector. The report stated that Pakistan has the lowest 4G network coverage in the region, and its preparations for deploying 5G technology are significantly behind schedule.
The digital economy contributes only 1.5% to Pakistan’s GDP, indicating significant growth opportunities. Fixed broadband access is available to just 1.3% of the population, and fibre optic networks are still limited. The ADB emphasises the necessity to expand these networks for improved connectivity.
Mobile internet access reaches 80% of the population. However, actual usage remains low due to several barriers. High taxes on telecom services, the highest in the region, discourage both investment and growth.
(Cont’d): Opensignals advanced, data-driven insights will be utilized to monitor and enhance network performance, ensuring reliable and high-speed connectivity for consumers in line with international standards set by the International
Telecommunication Union (ITU) and global… pic.twitter.com/oU2Pi4Pvv4
— PTA (@PTAofficialpk) July 10, 2025A significant gender gap exists in mobile phone ownership and internet access. Currently, 86% of men own mobile phones, compared to only 53% of women. When it comes to internet access, 53% of men have connectivity, whereas just 33% of women do. The challenge of affordability is a major barrier, making it difficult for women and low-income groups to purchase internet devices. These factors contribute to a widening digital divide, with rural areas experiencing the most severe effects of poor connectivity.
The ADB urges action: reduce taxes and simplify regulations to attract telecom investments. Prioritise the rollout of fibre optics in remote areas. Provincial governments should boost demand by connecting schools and hospitals.
To improve governance, it is essential to build robust cybersecurity systems. Additionally, launching digital literacy programs, particularly for women, is crucial. Providing affordable smartphones will help increase access to technology. Digitising agriculture and small and medium-sized enterprises (SMEs) can lead to economic benefits. It is also important to train women and youth in online business skills to promote entrepreneurship in rural areas.
