BEIJING: Minister of State for IT and Telecommunication Shaza Fatima Khawaja on Tuesday said that the Pakistan-China all-weather strategic cooperation partnership is opening doors to unique opportunities in the IT sector.
The China-Pakistan Economic Corridor (CPEC) serves as the cornerstone of bilateral cooperation between Pakistan and China and also offers a number of opportunities for joint ventures and technology-based initiatives.
The integration of digital technologies into CPEC projects holds the promise of opening new avenues for economic growth, job creation and sustainable development, she said at the launch of the Global Digital Economy Conference 2024.
The minister said that the strategic partnership between Pakistan and China opens doors to unique opportunities for cooperation in the IT sector.
“Whether it’s artificial intelligence, cyber security, e-commerce or digital infrastructure, there is huge potential for joint ventures, knowledge exchange, networking opportunities and skills development,” she added.
Shaza Fatima said that the huge potential of China’s IT market presents a significant opportunity for foreign companies, including those from Pakistan, to expand their business and increase exports.
The minister noted that the partnership between Pakistan and China continues to flourish, reflecting a long tradition of cooperation and mutual growth.
This partnership represents a significant step forward as they come together to explore the vast potential in the Information Technology (IT) sector.
Shaza Fatima said the global landscape has witnessed a digital revolution in recent years that has made the IT sector a cornerstone of economic development, innovation and social transformation. Both Pakistan and China are aware of the huge potential of this sector and have made significant strides in harnessing its capabilities.
“Pakistan’s IT sector has emerged as a strong catalyst for national economic growth. According to Kearney’s Global Services Location Index 2022, Pakistan is the most attractive outsourcing destination. With approximately 20,000 registered IT and IT Services (ITeS) companies exporting in over 170 countries the growth of this sector is strong,” she added.
It is worth noting that 20 leading IT companies from Pakistan are participating in GDEC 2024 and are expected to sign a memorandum of understanding to strengthen IT cooperation between China and Pakistan.
The minister said that this success can be attributed to several key factors. Pakistan produces around 75,000 IT graduates annually, a skilled and dynamic workforce that meets global standards. The country offers offshore services with a remarkable 70% reduction in operating costs compared to Western destinations. Government support through the Pakistan Software Export Board (PSEB) includes 100% share ownership, 100% repatriation of capital and dividends, and income tax rebates on IT exports to foreign investors.
“We offer 100% share ownership, 100% repatriation of capital and dividends, and income tax rebates for IT exports to foreign investors,” she added.
She emphasized that Pakistan’s infrastructure supports this growth. Its strategic time zone, favorable for global business operations, along with more than 100 software technology parks and special technology zones, provides a favorable environment for innovation and growth.
Pakistani IT companies offer a variety of products and services ranging from software development and cyber security to artificial intelligence and data analytics. These capabilities complement the strengths of global counterparts and pave the way for extensive collaboration, she added.
Shaza Fatima said China, a world leader in technology and innovation, has made remarkable progress in artificial intelligence, big data, cloud computing and 5G technology. The Belt and Road Initiative and the Digital Silk Road project underscore China’s commitment to building a connected and technologically advanced world.
Shaza explained that the huge potential of China’s IT market presents a significant opportunity for foreign companies, including those from Pakistan, to expand their business and increase exports. “Looking to the future, synergies between Pakistan and China can lead to a digital renaissance that will benefit not only both countries but the entire region.”
The ongoing Global Digital Economy conference serves as a catalyst to promote meaningful collaboration. This forum provides a platform for companies from both countries to explore joint ventures, share best practices and engage in knowledge exchange.
Shaza Fatima said the forum is helpful in navigating regulatory areas, addressing cross-border issues and fostering an enabling environment for sustainable business growth. Participants can expect fruitful discussions and productive results.
She mentioned that the Government of Pakistan remains committed to providing the necessary support to transform this cooperation into shining examples of mutually beneficial cooperation. It should be noted that the main 4th GDEC will be held at the China National Convention Center (Beijing) from July 2 to 5, 2024. The theme of the conference is “Starting a New Era of Digital Intelligence, Sharing a New Future Digital Economy”.
