Hinza Asif
Pakistan’s Information Technology (IT) sector is on the brink of a significant transformation. With a large, youthful population, increasing internet access, and a thriving community of tech startups, Pakistan is well-positioned to make its mark in the global tech industry. The transition to Web3, the decentralized internet, offers a unique chance for Pakistan to advance rapidly. Moreover, collaboration with tech-savvy nations like Japan can propel innovation and economic growth, benefiting both countries.
Web3 is the latest concept, which is revolutionizing industries across the globe, from healthcare to finance. However, the transition from Web 2.0 to Web3 is a gradual process, but experts can already feel its impact in various sectors. The concept of decentralization, tokenized economies, and blockchain technology aims to create digital spaces where users have true ownership over their content and data.
Having said that, many Japanese companies have started adapting Web3 applications to be at the forefront of this innovation, with a focus on blockchain, decentralized finance (DeFi), and non-fungible tokens (NFTs). For instance, Japan’s largest bank, Mitsubishi UFJ Financial Group (MUFG), has been actively exploring the use of blockchain technology for various applications, including supply chain management and digital identity verification.
Another notable example is Japan’s largest e-commerce platform, Rakuten, which has been investing heavily in blockchain and DeFi. If we talk about the media industry, NFTStudio24 is an epitome of how incorporating blockchain into media can revolutionize the industry as the world sees it.
The Current State of Pakistan’s IT Sector
In recent years, Pakistan’s IT sector has experienced substantial growth. The country is home to a dynamic mix of tech entrepreneurs, freelancers, and IT professionals. As reported by The Nations, Pakistan’s IT exports have surpassed $2 billion, driven mainly by software development, business process outsourcing (BPO) services, and freelancing. Government initiatives, such as tax breaks for IT exports and the creation of technology parks, have played a pivotal role in this progress.
However, the industry still faces challenges such as inadequate infrastructure, a skills gap, and limited access to funding, limiting the sector’s potential. Overcoming these obstacles will require strategic international partnerships and the adoption of innovative technologies.
Embracing Web3
As we talked earlier, Web3 represents the next evolution of internet technology, characterized by decentralization, blockchain integration, and increased user control over data. Unlike the current internet (Web2), where few major companies have control over data, Web3 aims to shift ownership and give users control over their digital assets.
In November, 2022, Punjab Government, Pakistan launched the first Web3 portal of the country.
On the occasion of launch, Mr Leghari said, “the complete adoption of Web 3.0 would create jobs leading to economic growth and a rise in GDP.”
“Tourism, education, government services, retail and real estate will be the main beneficiaries of the new technology,” he added.
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The Importance of Japanese-Pakistani Collaboration
Japan, known for its technological advancements in areas like robotics, artificial intelligence (AI), and blockchain, can be a valuable partner for Pakistan. Japan’s investment in Pakistan could lead to the creation of a robust Web3 ecosystem, with Japanese companies providing expertise and resources to Pakistani startups.
Collaboration between Japan and Pakistan can drive innovation and mutual growth in several key areas such as skill development, investment and funding, joint ventures and projects, and policy and regulatory support. Asia Web3 Alliance Japan (AWAJ) aims to facilitate diplomatic relationships between two nations through appropriate networking, market strategies, and policy exploration that can benefit mutual economic and technological advancements.
Pakistan’s IT sector holds immense potential, and the shift towards Web3 presents a unique opportunity to explore new avenues of growth and innovation. I believe, by embracing Web3 technologies, Pakistan can tackle its socio-economic challenges and drive sustainable development.
Together, Pakistan and Japan can build a future where technology empowers people, enhances transparency, and fosters inclusive growth.
Hinza Asif is a Pakistani born businesswoman in Japan. She is CEO of NFTStudio24 and President of Asia Web3 Alliance Japan.She contains eight years of experience in the media industry and five years of experience in IT and Blockchain. Aiming at making Web3 accessible globally, Hinza is building a vibrant Web3 community, fostering growth and collaboration between Japan and Asia.
