The Federal Board of Revenue (FBR) and the State Bank of Pakistan (SBP) are making it difficult for Pakistan’s technology sector to grow in the right direction.
Federal Minister for IT and Telecommunication Syed Aminul Haq has stated that FBR’s policies and some rules of the central bank are hindering the growth of Information Technology (IT) exports. “Startups and freelancers have fought a war with FBR and State Bank,” he said during the Digital Inclusion Week event today.
The minister said, “We are fighting with FBR and SBP to increase IT exports. Here the mindset is selling flour, pulses, and rice. It takes me 15 days a month to explain things to the FBR and SBP”.
The IT Ministry in July set a target of $5 billion for IT exports in the current fiscal year, which would be subject to the resolution of outstanding issues with the FBR and the SBP. Pertinently, the ministry has concerns over matters related to withholding tax and incentives for freelancers.
On another note, Aminul Haq updated that the Ministry of IT and Telecommunication (MoITT) has spent $226 million to improve digital connectivity in backward areas of the country. The minister highlighted MoITT’s role in pushing policies for digital growth in the country.
He said IT exports had surged to $2.6 billion since 2019 and the government aims to double IT-related exports by next year.
The minister also informed that major cities like Karachi and Multan no longer face connectivity issues. In terms of connectivity growth, he said the number of cellular subscribers has increased to 195 million from 160 million in 2019.
Gender inequality in the country is now being addressed in the digital space. Women and girls are being given access to the internet and appropriate technology.
“Our government believes in the digital inclusion of women. We are giving equal opportunities to women in education and training. For what it is worth, we have to protect children from online harassment, and Pakistan is the first nation to introduce a program to protect children from it,” Aminul Haq explained.
The minister said more than 60 percent of our population consists of youth. “The ministry is hell-bent on the policy of giving skills to the youth. Soon, our institutions will start BS and MS classes on all technology-inclusive subjects,” he added.
Recalling his earlier days in the office, the minister said, “We made a mobile phone manufacturing policy after taking over the ministry. As a result, 29 companies are making mobiles in Pakistan today, while 26 software technology parks have been set up in small towns across the country. We also have 7 new and functioning incubation centers”.
Aminul Haq appreciated the efforts of the Global System for Mobile Communications Association (GSMA) for helping launch the Smartphone for All Initiative and said that revolutionary changes in the field of telecommunication in Pakistan are now being recognized all over the world.
