Pakistan and China have reaffirmed their commitment to deepen cooperation in digital investment and emerging technologies, marking a new phase in the countries’ long‑standing economic partnership focused on innovation and growth. This renewed focus comes as both nations align on expanding digital infrastructure, artificial intelligence, smart city tech, and big data projects to boost economic collaboration under the digital investment agenda.
According to a statement issued by Pakistan’s Ministry of Information Technology and Telecommunication, Federal Minister Shaza Fatima Khawaja and Chinese Ambassador Jiang Zaidong held a high‑level meeting to strengthen digital cooperation. Key areas discussed included smart city initiatives, AI programs, and digital economic tools aimed at modernizing Pakistan’s tech ecosystem and expanding opportunities for Chinese investors.
Officials noted that this push aligns with broader efforts under the China‑Pakistan Economic Corridor (CPEC) Phase‑II, which now emphasizes technology, digital innovation, and sustainability alongside traditional infrastructure and energy projects. In Beijing last month, Pakistan’s Planning Minister Ahsan Iqbal highlighted that CPEC’s next stage will integrate technology cooperation, green energy, and digital connectivity as central pillars for future growth.
Experts say the digital cooperation framework presents significant opportunities for Pakistan’s tech sector, especially in areas such as big data and data centers. Earlier discussions between Pakistani tech officials and Chinese firms explored collaboration on Tier‑Four data centers and big data systems to support a scalable digital economy.
However, Pakistan’s digital ambitions come amid broader economic challenges, including a notable drop in foreign direct investment (FDI). Recent figures show that Pakistan’s FDI dropped 25% in the first five months of FY2025‑26, prompting calls for increased digital investment to diversify the economy and attract new capital.
Analysts believe that strengthening Pakistan China digital investment ties, from AI and blockchain to digital infrastructure, could help offset traditional investment dips and create new revenue streams for youth employment, startup growth, and technology exports.
As both governments continue talks and sign MoUs, this deeper cooperation signals Pakistan and China are not just renewing economic ties but reshaping them for the digital era.
