LAHORE
February 15, 2026
Pakistan’s venture capital-backed startup ecosystem has crossed a combined enterprise value of $4 billion, marking significant growth over the past five years despite continued funding constraints, according to the Pakistan Tech Report released by Dealroom.co and inDrive. The ecosystem has expanded 3.6 times since 2020, positioning Pakistan among emerging “New Frontier” technology markets globally.
The country currently hosts more than 170 VC-backed startups, including around 17 breakout companies that have raised between $15 million and $100 million, alongside two scale-ups surpassing $100 million in total funding. However, the absence of unicorns and limited domestic growth capital remain key challenges, with many startups relying on international investors for later-stage funding.
Fintech, mobility, enterprise software, education technology, and health tech continue to dominate investment activity, with early foreign capital flowing particularly into fintech and logistics platforms. Several delivery and mobile payment startups have secured multi-million-dollar funding rounds, highlighting investor confidence in digital services and financial innovation.
The report also notes strong participation by women founders, particularly in sectors such as health tech, artificial intelligence, and sustainability, although most women-led startups remain at pre-seed or early funding stages. Broader economic and demographic trends support long-term growth prospects, including a young population, increasing smartphone adoption, and expanding mobile and internet penetration across the country.
Analysts suggest that the current funding gap could create opportunities for strategic investors, with the ecosystem expected to scale rapidly if access to growth capital improves and successful exits begin to materialize over the next five to seven years.
