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Internet disruptions threaten digital economy

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RECENT concerns over internet disruptions in Pakistan have raised alarms about the potential economic impact, with the Pakistan Software Houses Association (P@SHA) estimating that the country could lose up to $300 million. These disruptions, linked to the implementation of a national firewall, are more than just minor inconveniences—they represent a significant threat to the viability of the digital economy.

P@SHA’s statement highlights the severity of the situation, emphasizing that the disruptions are a direct and aggressive assault on the industry. The estimated financial losses, which could reach $300 million, may increase if the situation persists.

A leading e-commerce entrepreneur based in Karachi expressed similar concerns, noting that businesses are contemplating relocating their operations abroad due to the increasing unreliability of internet services in Pakistan. The entrepreneur stressed that fast and secure internet access is crucial for competing globally, and the current instability is pushing the industry towards a critical juncture.

The growing anxiety within the business community reflects the broader implications of these internet disruptions. As the country navigates these challenging times, the future of Pakistan’s digital landscape hangs in the balance. Both businesses and consumers are feeling the effects of the slowdown, raising questions about how to balance the government’s security measures with the need for a robust and reliable digital economy.

Understanding the role of a national firewall is key to this discussion. Typically, firewalls on devices like laptops serve to protect against harmful network traffic. However, a national firewall operates on a much larger scale, performing crucial functions such as content filtering, surveillance of internet traffic for illegal activities, bandwidth control to prevent congestion, and the enforcement of internet usage regulations.

According to the pro-democracy think tank Freedom House, internet freedom is declining worldwide, with increased censorship across social media, e-commerce platforms, and search engines. Interestingly, many countries with strict internet regulations are also popular tourist destinations, highlighting the global challenge of balancing security with connectivity.

After months of speculation, Pakistan’s IT minister recently confirmed that the government is indeed upgrading its web management system to address cybersecurity threats. The government has stressed the importance of protecting the country’s interests in the face of these challenges.

However, the impact on the nation’s digital economy cannot be overlooked. A balanced approach is essential to ensure that internet access remains a vital tool for business and personal use, without causing undue disruptions. As Pakistan continues to strengthen its cybersecurity measures, it is crucial to find solutions that address security concerns while maintaining the integrity and reliability of the digital infrastructure. The digital economy is a key driver of growth, and ensuring that it remains strong and resilient is in the best interest of the entire nation.

—The writer is contributing columnist, based in Saudi Arab.

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