Pakistan Software Houses Association warns of potential $300 million economic loss due to internet disruptions
The Pakistan Software Houses Association (P@SHA) has issued a warning that the implementation of a firewall and resulting internet disruptions in the country could potentially cause an economic loss of up to $300 million.
In a press release issued on Thursday, P@SHA stated that an internet firewall is being implemented to monitor and control content and social media platforms. Meanwhile, the government denies using the firewall for censorship purposes.
Ali Ehsan, Senior Vice Chairman of P@SHA, remarked that the enforcement of the firewall has already led to prolonged internet outages and erratic VPN performance, posing a threat of ‘complete disruption of business activities.’
He added, “These disruptions are not just a nuisance but represent a direct, tangible, and aggressive attack on the industry’s viability, with an estimated catastrophic financial loss of up to $300 million, which could escalate rapidly.”
Read More: No link between slow internet and firewall, PTA sources confirm
Earlier this month, IT Minister Shaza Fatima Khawaja informed local media that the government had no plans to use the firewall as a censorship tool.
In its statement, P@SHA highlighted that the lack of government transparency surrounding the firewall has ‘fueled a fire of distrust’ among internet users and Pakistan’s global IT clients, who fear that their proprietary data and privacy could be compromised.
P@SHA demanded an ‘immediate and unconditional halt to this digital siege’ and urged the government to collaborate with the industry to develop a cyber security framework.
It is noteworthy that Pakistan recorded $298 million in IT exports in June, marking a 33% increase compared to last year. During the financial year ending in June, IT exports totaled $3.2 billion, which is 24% higher than the $2.5 billion reported in the 2023 financial year.
