Google Invests $500,000 in Pakistan’s Health Tech as Digital Economy Push Gains Momentum

0

By Tanveer Ahmed :

Google has invested $500,000 in a Pakistani company operating in the data and health technology sector, highlighting growing global interest in the country’s emerging digital economy, according to a senior industry official.

Syed Ijlal Jafri, Group Chief Information Officer of Martin Dow Group, revealed the investment while speaking at the launch of the Overseas Investors Chamber of Commerce and Industry’s flagship report titled “Recommendation for Pakistan’s Digital Future”.

Jafri said the funding targeted the data and health tech sector, an industry that the report projects will expand sharply in the coming decade. The global health technology market is expected to grow from $387.8 billion in 2025 to $2.19 trillion by 2034, reflecting increasing demand for digital healthcare solutions.

Regional competition is also intensifying, with markets such as Bangladesh attracting growing interest from investors. Digital health platforms like the Bangladeshi app Maya provide on-demand medical consultations, a service similar to Pakistan’s Sehat Kahani platform.

Despite the promising outlook for health technology, it remains only one part of Pakistan’s broader digital transformation. The OICCI report suggests that the digital economy could account for between five and seven per cent of Pakistan’s gross domestic product by 2030 if key structural barriers are addressed.

The country has already seen strong growth in technology-related services. Pakistan recorded $3.8 billion in IT and IT-enabled service exports in the fiscal year 2025, while freelancers contributed an additional $779 million in foreign earnings. However, the report warns that progress is being constrained by significant gaps in digital infrastructure.

One of the major concerns highlighted is the limited fibre-optic connectivity across the telecommunications network. Although 5G spectrum has been auctioned and telecom operators have begun preparing investments, only about 18 per cent of cellular towers in Pakistan are currently connected through optical fibre cables. This falls far short of the global benchmark of around 40 per cent, raising concerns about the country’s readiness for next-generation technologies.

The Ministry of Information Technology and Telecommunication has announced plans to expand fibre connectivity to 7.5 million households over the next five years. At present, around two million homes are connected through fibre-to-the-home services. However, the OICCI report cautions that the plan may face serious implementation challenges given existing market conditions.

Industry stakeholders also point to policy changes that have increased costs for network expansion. Regulatory duties on fibre-related equipment were doubled to 20 per cent last year from 10 per cent, a move the report says has increased costs by more than 100 per cent and discouraged investment in expanding fibre infrastructure.

Despite these challenges, the report notes some encouraging developments in Pakistan’s digital landscape. The country has improved its ranking on the Network Readiness Index, while progress has also been made in narrowing the mobile internet gender gap.

Citing data from the GSMA, the report says around eight million women gained access to mobile internet in 2024. This helped reduce the gender gap in mobile internet usage from 38 per cent to 25 per cent, marking the first significant improvement since 2021. Much of this progress has been driven by increased internet adoption among women in rural areas.

About Author

Leave a Reply

Your email address will not be published. Required fields are marked *