Today Pakistan is one of the leading markets in Asia with a significant growth in mobile phone penetration providing a solid foundation for digital services and innovation.
“This has been driven by investments in infrastructure and the expansion of mobile broadband services. The large and tech-savvy youthful population represents a considerable consumer base and workforce opening up immense opportunities and creating a conducive environment for digital transformation,” said Mr. Mikhail Gerchuk, the CEO of eand international, the controlling company of PTCL Group.
In an exclusive interview with ProPakistani, Mr. Mikhail Gerchuk, a key figure in Pakistan’s telecom and technology industry, shared insights on the country’s immense potential, its macroeconomic conditions, digital development and the challenges faced by the telecom operators.
Gerchuk is optimistic about Pakistan’s potential and reaffirms his company’s commitment to supporting its success through the development of digital infrastructure.
The telecom market has enormous opportunities with a population of approximately 240 million, a majority of whom are under 30 years old.
He believes that this population presents an opportunity for the country to become a global success and also highlighted that eand international, through PTCL Group, is dedicated to aiding this progress by investing in and building robust digital infrastructure.
The government has also played a pivotal role in promoting digital transformation through various initiatives, and policies encouraging e-commerce, digital financial services and the development of a digital ecosystem.
Research indicates that the development of digital infrastructure can catalyze economic growth and empower people to lead better lives.
The PTCL Group aims to play a crucial role in Pakistan’s digital transformation journey and empower all its citizens and make a positive impact in both their personal and professional lives.
Pakistan like many other countries globally has also faced several macroeconomic challenges, particularly in the past year. Currency devaluation and rapid inflation have been pressing concerns, impacting the overall economy.
Today eand is the largest foreign investor in Pakistan, with these factors also impacting eand’s investments and return on investments. Gerchuk also raised concerns about the excessive taxation on telecom operators in Pakistan, which is one of the highest in the world.
“Despite expectations of tax reductions in the budget cycle, no relief was granted”, said Mr. Gerchuk.
The combination of currency devaluation and high taxes has led to a decline in the average revenue per user in dollar terms, placing further strain on the telecom industry’s ability to invest in digital infrastructure.
Another challenge highlighted by Gerchuk is the requirement for consolidation in the telecom market, especially with the presence of four mobile players in the Pakistani market.
For an emerging market, this puts a lot of pressure on telecom operators to invest substantially in digital infrastructure as the need to build a ‘Digital Pakistan’ is a top priority. Gerchuk stresses the importance of upgrading connectivity and infrastructure to bring Pakistan on par with global standards.
Despite the macroeconomic difficulties and challenges faced by the telecom sector, Gerchuk’s unwavering commitment to Pakistan’s potential remains intact.
With a focus on developing digital infrastructure and overcoming obstacles, the telecom industry can play a pivotal role in propelling Pakistan towards a more digitally empowered future.
Source: Pro Pakistani