Pakistan’s army chief inaugurates combat simulation center in Bahawalpur sector

KARACHI: Pakistan’s ongoing internet crisis, marked by soaring costs and sluggish speeds, stems from structural issues in which two operators control the gateway to global connectivity, the country’s internet service providers’ association said this week.

Pakistan is heavily reliant on digital connectivity for economic growth. However, the Wireless and Internet Service Providers Association of Pakistan (WISPAP) said in a statement users were getting an average speed of just 20-30 megabits per second (Mbps), which was significantly lower than that of countries like Bangladesh in the region where speeds reach 50 Mbps, despite Pakistanis paying nearly twice as much for the service.

WISPAP warned against the “near-duopoly” of Pakistan Telecommunication Company Limited (PTCL) and Transworld Associates (TWA), saying it had led to monopolistic pricing, restricting competition and keeping internet services expensive and inefficient.

Its assertion comes as Africa-1, a new undersea cable system, recently landed in Pakistan, promising additional bandwidth, though the association said it would only benefit the two existing gatekeepers of global connectivity.

“Ban gatekeepers from overcharging or locking out rivals,” the statement prepared on Tuesday quoted Shahzad Arshad, WISPAP chairman, as saying. “Fair rules mean fair rates.”

Pakistan’s internet infrastructure is centered around Karachi, where PTCL and TWA manage the country’s seven undersea fiber-optic cable connections and two smaller overland links.

Arshad noted the lack of competition allows these operators to set high prices for bandwidth, which internet service providers (ISPs) must purchase before distributing internet services to consumers.

WISPAP also proposed policy recommendations, including creating a second internet gateway in Gwadar, saying it would reduce broadband costs by 30 percent in five years.

“Invite new operators, local or foreign, with tax breaks,” its chairman suggested. “PTCL and TWA will have to fight for customers, not just cash them out.”

Additionally, the group urged regulators to follow Malaysia’s model of negotiating bandwidth in local currency, shielding ISPs from volatile exchange rates.

“Cut the dollar leash, and ISPs save 20% overnight,” Arshad said. “That’s cheaper Wi-Fi for every household.”

Pakistan’s internet crisis has far-reaching consequences for businesses, impacting sectors such as e-commerce, fintech and freelancing. The country’s freelance industry, which generated $1.2 billion in 2024, is particularly vulnerable to unreliable connectivity.

WISPAP estimates that affordable, high-speed internet could double freelancing revenue to $2.5 billion by 2030, while also bringing 10 million more Pakistanis online.

KARACHI: Hutchison Ports, a subsidiary of Hong Kong conglomerate CK Hutchison Holdings Limited, plans to invest $1 billion in Pakistan to improve its port infrastructure, the Pakistani finance ministry said on Thursday.
The statement came after a delegation of Hutchison Ports, led by its Middle East & Africa Managing Director Andy Tsoi, met Pakistan Finance Minister Muhammad Aurangzeb and briefed him about the firm’s 25-year presence in Pakistan.
Hutchison Ports has been operating two terminals, HPKICT and HPSAPT, in Pakistan and has contributed more than Rs225 billion ($804 million) in government revenues and provided employment to a workforce of 5,000 individuals, according to the port operator.
During the meeting with Aurangzeb, Hutchison Ports delegates presented their upcoming investment plan, aimed at upgrading their existing terminals to enhance operational efficiency, logistics connectivity, and automation.
“The investment includes infrastructure development, road improvements to facilitate efficient cargo movement, modernization of HPKICT into a cutting-edge automated terminal, and the development of a 52-hectare logistics park to enhance trade connectivity,” the Pakistani finance ministry said.
“The delegation highlighted that their investment is expected to generate at least USD 4 billion in revenue over the next 25 years through royalty, rent, and tax contributions.”
The automation upgrades will include remote quay cranes, electric trucks and digitalized gate operations, alongside training programs for maritime professionals in port operations, management and artificial intelligence (AI) applications, according to the statement.
Finance Minister Aurangzeb appreciated Hutchison Ports’ commitment to Pakistan’s maritime sector and acknowledged their significant role in boosting trade and economic activity.
“He reaffirmed the government’s support for strategic investments that contribute to Pakistan’s economic growth and infrastructure development,” the finance ministry said.
The development comes amid Pakistan’s efforts to boost trade and seek international partnerships to expand its maritime activities.
On January 22, South Korean shipping company, HMM, launched the India North Europe Express (INX) weekly shipping service in Pakistan, providing the South Asian country direct access to Europe.
The service, launched in collaboration with Ocean Network Express (ONE) container liner and Pakistan’s United Marine Agencies (UMA), will ensure timely and efficient delivery of Pakistani goods to the destined European ports and beyond, according to HMM.
Prior to that, Dubai-based logistics giant DP World, in collaboration with Pakistan’s National Logistics Corporation, launched in Jan. a feeder service to transport shipping containers from Dubai to Karachi, Pakistani state media reported. Pakistani officials and DP World have also finalized terms for a freight corridor project from Karachi Port to the Pipri Marshalling yard in southern Pakistan.
Pakistan is currently on a tricky path to economic recovery since avoiding a default in June 2023. The South Asian country last year secured a new $7 billion loan from the International Monetary Fund (IMF) and has been actively pursuing trade and investment opportunities to put the economy back on track.