Pakistan’s cloud computing and data center industry is rapidly evolving, positioning the country to become a regional hub for digital infrastructure. The country’s data centers are expected to provide high-speed connectivity and colocation services to neighboring Central Asian nations, driving digital transformation and economic integration in the broader region.
During a recent media briefing, Muneeb Khawaja, Business Unit Head Data Centres at DWP Group Pakistan, highlighted the vast potential of Pakistan’s data center ecosystem. However, he also pointed out critical challenges that could hinder the industry’s growth. A significant roadblock, Khawaja said, is the government’s direct competition with private players, which discourages private investment and disrupts market competitiveness.
Khawaja recommended that future data centers be located in Pakistan’s northern regions, particularly in areas like Gilgit-Baltistan, where the cooler climate could significantly reduce cooling costs—a major expense for such facilities. He explained that using natural cooling methods could make operations more sustainable and cost-effective, contrasting with the current use of engine oil in cooling systems. However, he cautioned that northern locations must also be carefully assessed for flood risks, earthquake activity, historical site stability, internet connectivity, energy availability, and skilled labor.
Recognizing the importance of human resource development, Khawaja emphasized ongoing efforts to train a new generation of data center professionals. DWP Group collaborates with academic institutions to foster talent, including supporting Knowledge Stream, a youth training initiative in data center operations.
The briefing also highlighted successful public-private collaborations, such as the establishment of two data centers in partnership with the Higher Education Commission (HEC)—one at NED University in Karachi and the other in Lahore. These centers not only meet HEC’s data storage needs but also serve as platforms for research and innovation.
Khawaja emphasized the need for sustainable energy solutions in the future of data centers. Many existing centers still rely on conventional power and outdated cooling systems. He noted that new facilities prioritize energy efficiency and incorporate renewable energy sources like solar power. With over 60,000 megawatts of renewable energy potential, particularly in Sindh and Balochistan, Pakistan is well-placed to reduce costs and cut carbon emissions by utilizing solar panels and engaging in long-term power purchase agreements with wind farms.
While early initiatives and international partnerships have paved a positive path, Khawaja called for a unified national strategy. He stressed the need for policy support, infrastructure upgrades, and a push for green data centers to fully unlock Pakistan’s potential in the digital economy.
With the right mix of regulatory support, investment, and skilled human resources, Pakistan is well-positioned to lead in cloud computing and data center services, driving innovation, economic growth, and cross-border digital collaboration in the region.
