Firewall Stalls Pakistan’s $1 Trillion Economic Ambition
Pakistan has finalized a five-year economic plan aimed at transforming its economy into a $1 trillion powerhouse by 2035. However, achieving critical goals depends on dismantling a social media firewall erected to counter anti-government propaganda, which has hampered progress in the information technology sector.
The 5Es National Economic Transformation Plan (2024-29) sets ambitious targets, including a literacy rate of 70% and a 13% reduction in poverty. Prepared by the Ministry of Planning, it will be unveiled by Prime Minister Shehbaz Sharif. The plan replaces UK economist Stefan Dercon’s earlier fiscal strategy, which failed to gain traction, though there are proposals to launch both documents together.
IT Sector and Economic Growth
The plan prioritizes IT and freelancing, targeting $5 billion in related exports by 2029, a significant increase requiring open internet policies. Restrictions imposed by the firewall, including VPN limitations, conflict with these goals. Daniel Castro, a U.S.-based IT expert, highlighted the economic costs of such restrictions, emphasizing that thriving digital economies prioritize connectivity and infrastructure.
Under the E-Pakistan initiative, the plan envisions producing 75,000 IT graduates annually, expanding broadband to 135 million users, establishing 100 software technology parks, and creating at least one $1 billion “unicorn” company.
Renewable Energy, Railways, and Social Goals
The plan targets a 50% reduction in greenhouse gas emissions, a 10% renewable energy share, and railway expansion under the $7 billion Mainline-I project of the China-Pakistan Economic Corridor (CPEC). In social sectors, it aims to create 1.5 million jobs annually, increase healthcare coverage, and improve education completion rates at primary and secondary levels.
Challenges and Long-Term Vision
Planners identified key obstacles, including outdated industries, low productivity, and climate-related risks to agriculture, which employs 40% of the workforce. The plan also outlines goals to make Pakistan the world’s 10th largest economy by its centenary in 2047, focusing on sustainable growth and social empowerment.
The 5Es framework underscores Pakistan’s need to shift from a security-centric state to a rule-based democracy to unlock its potential and achieve these transformative objectives.
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