The interim government has unveiled its plans to launch the ‘Pakistan Startup Fund’ with the aim of attracting venture capital investments. Additionally, the administration is gearing up to introduce advanced 5G internet services by mid-2024, as stated by Dr. Umar Saif, Minister for Information Technology and Telecommunication.
“The interim administration has allocated more than Rs.2 billion for the establishment of this fund, with a commitment from private investors to match this amount. Furthermore, venture capitalists have pledged an additional Rs.8 billion in Series ‘A’ funding for startups graduating from this initiative.”
This announcement followed the signing of a strategic partnership between Habib Bank Ltd (HBL) and the Pakistan Software Houses Association (P@SHA). The Information Minister highlighted the establishment of co-working spaces to accommodate up to half a million IT freelancers, fostering an environment conducive to technological innovation.
“The interim government is working diligently on this project, with the aim of laying the groundwork before the new elected administration takes office. The plan also encompasses the initiation of the 5G auction process.”
Dr. Saif acknowledged the contributions of the Special Investment Facilitation Council (SIFC) and noted that IT companies are now authorized to retain 50 percent of their revenue in US dollar accounts. Furthermore, banks will issue corporate debit cards to these companies, simplifying international transactions and bolstering export earnings.
Muhammad Aurangzeb, President and CEO of HBL, expressed his optimism regarding the IT industry’s potential as a significant driver of economic growth and job creation in Pakistan. He reiterated HBL’s commitment to becoming a ‘Technology Company with a Banking License’ and highlighted the role of the collaboration in engaging with key stakeholders in the IT, freelancer, software, and gaming sectors to provide innovative financial solutions tailored to the specific needs of the IT industry.
