Home Jugaar 10 Reasons Why IT Startups in Pakistan are not Successful

10 Reasons Why IT Startups in Pakistan are not Successful

Monetizing Startups in Pakistan
Source @ MIT Technology Review - Pakistan
  • Lack of Funds and More Taxation

It is imperative for a state to invest in the developing projects held in the country. These projects help in boosting the economy of the country and make it a developed country. The innovation in the field of IT is increasing day by day, so it is crucial for the people of Pakistan to meet the shoulders with the whole world. Pakistan is a country of doctors and engineers; this country is rich with talent. One of the major problems is that the Government of Pakistan does not allocate enough funds for the high-level startups of information technology empires but have imposed heavy taxes on Internet and other IT services.

  • Insufficient Information Technology Institutes

There are very less number of technology institutes all over in Pakistan. The Present institutes include a large number of those which are private, only a few good government technology institutes are present in the whole Country, and only in the big cities. All the private information technology institutes are expensive; therefore the trend of IT startups is slow and less attractive.

  • Lack of Awareness regarding Information Technology

The majority of Pakistan’s population is not aware of even the term information technology, as Pakistan is still an under-developing country. There is a big space for the developers to start the IT setups in Pakistan and create awareness for others to invest in this field. Lack of awareness is one of the major reason that Pakistan has less IT startups as compared to other countries like neighboring India.

  • The Technical aspect of Information Technology

As the word define its nature as “Information Technology.” It is sure that this field of science is about technical so most of the people do not want to be a part of it because of its complications.  In Pakistan, everyone wants to become a Doctor or an Engineer, they consider IT a challenging and less attractive field, no doubt it is challenging but the difficulty can be overcome, whenever one gets command over it.

  • Lack of Information Technology Practices

In Pakistan, the practices regarding information technology are very insufficient. Some renowned projects are very less, and most of them are outsourced to the other countries all over the world. No doubt Pakistan has a fine freelancing community, and it is increasing day by day, but there is no well-known information technology setup except “Netsol”.

  • Insufficient IT Gurus
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In universities and the other training institutes offering information technology programs have limited number of IT instructors, due to which the students belong to this field lost their interest in the midway and lost their future as well. Such practices make universities and institutes unable to produce more IT professionals who would go to launch their own IT startups.


Pakistan does not allocate enough funds for the startups of information technology empires but have imposed heavy taxes on Internet and other IT services.


  • Rare Platforms for the Exceptional IT Talent

Not all, but few students know how to work in IT, they are exceptional in their skills, but again the problem arises, there is no strong platform for such exceptional IT talent to show the world about their work because the government is not supporting or promoting such platforms, these young IT talents do their own efforts to promote and show their skills i.e Arfa Karim was one of the brilliant IT prodigy in Pakistan and she was the youngest MS certified Professional until 2008.

  • Insufficient Technology Production

Pakistan is rich in natural resources, but somehow lacks in technical resources; although computer and related accessories are cheaper in Pakistan but the latest technology is out of reach of the common students in Pakistan because it is expensive and even our Institutes are equipped with out dated and old techs which ultimately makes it difficult for the graduated students to meet the international standards when they go for their own IT startups. Moreover there isn’t any local production of IT accessories, recently “HAIER” has started producing laptops for University labs in Pakistan.

  • Cost of Energy

Energy is one of the most important aspects that runs technology, and Pakistan is facing a severe energy crisis from many years. To meet international standards, un-interrupted communication and client support is very important but due to shortage of electricity, load shedding issues and cost to fulfill energy shortage; IT startups in Pakistan had to lose their business.

  • Security Problems

Although things are getting better but still security is one of the major concerns for the investors in Pakistan or coming from out of Pakistan. Lack of secure environment is making Pakistan less attractive for foreign investment and local businesses to flourish. Due to security issues major IT companies aren’t interested to engage in IT startups in Pakistan. PayPal is one of the most used gateways for online funds transfer but it is unfortunate that Pakistan could be the only country in Asia where most of the major tech giants don’t offer their services.

About The Writer:

Momna Ikram is a professional Tech Content Writer, Designer, WordPress Expert and a Motivational speaker.

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