IT Minister Hints At Positive News About PayPal And Stripe
Share
Dr. Saif, who was speaking to the media alongside Caretaker Information Minister Murtaza Solangi, mentioned that there is currently no financial tool available to facilitate payments for Pakistan’s growing freelance community. He also acknowledged the concerns of various companies, including the FATF issue. Despite these challenges, he expressed optimism about potential positive developments related to PayPal and Stripe in the next four to six weeks, and he pledged to find a solution to offer these services to freelancers.
Dr. Saif highlighted that approximately 1.5 million Pakistanis are engaged in IT freelancing, making Pakistan the second-largest online workforce globally. However, he emphasized that the lack of necessary infrastructure is hindering their progress. He outlined plans for the E-Rozgar program, which will provide interest-free loans to the private sector to establish co-working spaces for up to 500,000 people.
Read more :Â PayPal and Stripe To Enter Pakistan, Boosting IT Exports
The minister revealed that Pakistan’s IT sector comprises around 19,000 companies, generating employment for 150,000 individuals and exporting goods worth $2.5 billion officially. He also noted that many IT companies keep their foreign exchange reserves and revenues outside the country due to restrictions on repatriating US dollars. Despite a conservative estimate of Pakistan’s IT exports at $4-4.5 billion, these restrictions have limited actual growth.
Dr. Saif mentioned efforts by the IT ministry and P@SHA to allow companies to retain 50% of their revenue in US dollar accounts and receive corporate debit cards to make international payments freely. The State Bank of Pakistan recently increased the permissible retention limit for IT exporters, simplifying the usage of retained funds, aiming to encourage software, IT, and IT-enabled services exporters and freelance services to boost foreign exchange earnings.
Dr. Saif pointed out that there is a shortage of skilled IT workforce in Pakistan despite high demand. To address this, a standardized test for IT graduates will be conducted in partnership with the Higher Education Commission. Those who pass will receive mandatory apprenticeships in the IT industry. This test, to be administered by the National Computing and Education Accreditation Council in universities, is set to begin in December.
The interim minister also discussed the immense potential for Pakistani IT companies following his visit to the UAE’s GITEX conference and expressed the need for government support in the startup sector. He announced plans to launch the Pakistan Startup Fund, facilitating collaboration with global venture capitalists to invest in Pakistani startups, with the goal of fostering billion-dollar startups in the future.
Dr. Saif mentioned the initiation of the auction of 5G spectrum and the launch of a cell phone financing scheme in partnership with the Pakistan Telecommunication Authority. Additionally, he noted that efforts are underway to enhance cybersecurity and protect against online data theft, with the announcement of a cybersecurity authority expected in the coming months.
