ADB urges urgent reforms to bridge Pakistan’s digital divide
ADB warns Pakistan’s digital growth lags due to underinvestment and high taxes, urging urgent 5G rollout and inclusion reforms.
The Asian Development Bank (ADB) has urged Pakistan to act quickly to close its widening digital gap by adopting urgent reforms.
Its recommendations include accelerating delayed spectrum auctions and launching 5G services, significantly expanding fibre-optic infrastructure, especially in underserved areas, and reforming the telecom tax regime to attract private investment and lower consumer costs.
The ADB also calls for gender-responsive and income-sensitive digital inclusion programs, greater investment in digital literacy, and targeted subsidies to help low-income and marginalised communities afford internet-enabled devices and connectivity.
Despite these clear policy paths, Pakistan’s digital progress remains hampered by chronic underinvestment, delayed 5G rollout, and inconsistent policies.
Fixed broadband penetration is just 1.3%, and although mobile internet covers around 80% of the population, real adoption stays low due to high costs and limited digital literacy. Heavy telecom taxes discourage investment and keep services expensive, especially for rural and low-income communities.
Meanwhile, the digital economy contributes only 1.5% to GDP, and deep gender gaps persist: 86% of men own mobile phones compared to just 53% of women, and only 33% of women use the internet.
The ADB warns that without urgent reforms, Pakistan risks widening its digital divide and missing out on economic and social benefits.
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