Pakistan has inaugurated four Special Technology Zones (STZs) in Punjab, aimed at enhancing the country’s tech exports by up to $350 million annually. This initiative, as announced by the Special Technology Zones Authority (STZA), is set to create significant employment opportunities for up to 50,000 professionals within the burgeoning tech sector.
According to STZA, these zones align with the government’s vision of boosting job creation for youth and focusing on key tech domains such as business process outsourcing, Information Technology, high-tech production, research and development, tech skill development, and knowledge products. The zones include the NUST Special Technology Zone and Tech7 Special Technology Zone in Islamabad, the Mindbridge Special Technology Zone in Lahore, and the Capital Smart Technology Zone in Rawalpindi, covering a combined area of 1.4 million square feet and 130 acres designated for tech companies.
STZA highlighted that these zones are a crucial part of the economic strategies endorsed by the Special Investment Facilitation Council (SIFC), aimed at increasing local and foreign direct investments in the technology sector. To date, investments of Rs30 billion have been made in developing these specialized infrastructures, with an additional Rs150 billion expected from both local and foreign tech firms in the next 2-4 years.
Companies operating within these zones will benefit from substantial incentives under STZA policy, including 10-year exemptions from income tax, customs duties, and forex benefits.
The launch of these zones coincides with ongoing internet disruptions across the nation, which have raised concerns within the tech industry. These disruptions, according to Ali Ihsan, senior vice chairman of Pakistan Software Houses Association (P@SHA), could potentially cost the Pakistani economy up to $300 million, describing them as “a direct, tangible and aggressive assault on the industry’s viability.”
