TRADE & ECONOMY

Telecom Operators Urge PM's Intervention as Internet Disruptions Threaten Pakistan's Economy

Pakistan's internet disruptions could cost the economy Rs12 billion annually! Telecom operators urge PM's intervention as cable faults and VPN issues plague the nation.
2024-08-23
Telecom Operators Urge PM's Intervention as Internet Disruptions Threaten Pakistan's Economy

Telecom operators in Pakistan have appealed to Prime Minister Shehbaz Sharif for urgent intervention as ongoing internet disruptions threaten to cost the national economy an estimated Rs12 billion annually. These disruptions, which have plagued internet users across the country for several weeks, have been attributed to faults in submarine cables and the increased use of VPNs, according to government officials.

 

The Pakistan Telecommunication Authority (PTA) confirmed that two of the seven international submarine cables connecting Pakistan to the global internet suffered significant outages. The AAE-1 cable experienced a 250G outage due to rerouting issues between Iran and Qatar, while the SMW-4 cable (1.5T) has been out of service due to faults near Karachi. Despite efforts to reroute traffic through other available cables, internet users have continued to experience significant drops in speed and interruptions to services like Facebook and WhatsApp.

 

Adding to the complexity, the Senate Standing Committee on Information Technology and Telecommunication held a meeting to address the issue but was notably marked by the absence of key figures, including the IT minister and the chairman of the PTA. The committee, chaired by Senator Palwasha Khan, expressed frustration over the lack of participation and postponed key agenda items for a future meeting.

 

Telecom operators, in a letter to the prime minister, warned that the ongoing internet slowdown could lead to long-lasting economic repercussions, including a significant impact on foreign direct investment, the information technology sector, and overall GDP. They reported a daily reduction in internet traffic of approximately 6,400 terabytes, which could severely strain the telecom sector and reduce revenue by more than Rs3 billion annually.

 

The Senate committee also discussed other pressing issues, including the recent ban on ‘X’ (formerly Twitter) and the challenges faced by the Pakistan Software Export Board (PSEB). Despite the global IT market’s immense value of $5 trillion, Pakistan’s share remains under 0.04%, highlighting the need for substantial improvements in the country's digital infrastructure and governance.

 

With the national economy at risk and digital services disrupted, the telecom operators emphasized the importance of swift and decisive action to restore internet stability across Pakistan.