ISLAMABAD: Pakistan’s lack of policy direction for the digital transformation of the economy threatens the realization of its e-commerce potential, an Islamabad-based think tank says in a study released on Friday.
In 2020, the State Bank of Pakistan forecasts total e-commerce activity in Pakistan to have more than tripled since 2016-17. However, the growth of the e-commerce sector “has largely been in spite of government policy action (or lack thereof), not because of it,” the report says.
According to technology policy expert Anum Malkani, who authored the study published by Tabadlab, despite e-commerce being recognized as an important tool to boost small and medium-sized enterprises (SMEs), employment and exports, the policy response has been slow.
While the Ministry of Commerce released Pakistan’s e-commerce policy in October 2019 to address the slow pace and lack of direction, Tabadlab argues there remains ambiguity on key issues such as data protection, digital financial transactions, and foreign direct investment (FDI) in e-commerce.
To truly transform transactions, the study says, policy must strengthen the technology and payments infrastructure and improve access across the country and regulatory framework, including protecting consumers from fraud, and ensuring data protection and privacy.
It must also clarify taxation policy with regard to local and international e-commerce, and enable access to foreign markets through multilateral and bilateral agreements.
If not addressed, according Tabadlab, the gaps threaten the realization of Pakistan’s e-commerce potential.
Policy gaps threaten realization of Pakistan’s e-commerce potential — study
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Policy gaps threaten realization of Pakistan’s e-commerce potential — study
- SBP forecasts e-commerce activity in 2020 to have more than tripled since 2016
- Policy ambiguity remains with regard to data protection, digital financial transactions and FDI
Pakistan economic body approves $2.9 million for border control, security amid surging attacks
- Economic Coordination Committee approves $177 million for approved projects of Defense Services, says Finance Division
- Pakistan is reeling from a surge in militant attacks, including last week’s suicide bombing in Islamabad that killed 12, injured 36
ISLAMABAD: Pakistan’s top economic body announced on Tuesday it has approved a grant of Rs841.56 million ($2.97 million) to support border control operations, internal security and maintenance of law and order amid surging attacks in the country.
The development takes place as Pakistan suffers a surge in militant attacks in recent months. Last week, a suicide bomber carried out an attack at a district court in Islamabad, killing 12 people and injuring 36. The incident took place a day after militants stormed a cadet college in northwestern town of Wana before security forces repelled them.
The Economic Coordination Committee (ECC), under the chairmanship of Finance Minister Muhammad Aurangzeb, met at the Finance Division to discuss the proposals and gave approvals to various grants requested by Pakistani ministries.
“On another summary submitted by the Ministry of Interior & Narcotics Control, the Committee approved an additional Rs 841.56 million as TSG to support border control operations, internal security, and maintenance of law and order by the Federal Civil Armed Forces,” the Finance Division said.
The committee also approved a Rs100.3 million [$355,000] grant on the request of the Ministry of Interior & Narcotics Control for the maintenance and repair of defense equipment utilized by the Federal Civil Armed Forces, and approved Rs50 billion [$177 million] for approved projects of the Defense Services.
The body also discussed a summary by the Petroleum Division about the extension of license periods and assignment of working interest for offshore oil and gas exploration blocks.
“The committee approved the set of proposals aimed at incentivizing and facilitating greater participation of foreign companies in Pakistan’s petroleum exploration sector,” the statement said.
Pakistan has repeatedly urged the Afghan government to rein in militants it alleges operate from its soil and carry out attacks against Pakistan. The Afghan Taliban deny the allegations and urge Pakistan to resolve its security challenges internally.
Islamabad also accuses New Delhi of arming and funding and backing militant groups in its western provinces bordering Afghanistan. India denies the allegations and accuses Pakistan of stoking militancy in the part of disputed Kashmir that it administers.
