Internet suspension piles on govt's misery with sinking economy, reputation

After the government moved to suspend internet services and block social media applications across Pakistan, the country not only lost Rs2.49 billion but also saw a plethora of anger from citizens who deemed it to be an attack on freedom of expression itself.

The shutdown, which came on the instructions of the interior ministry in the wake of violent protests sparked by the arrest of PTI Chairman Imran Khan, arrest, dealt a heavy blow to the country's economy and reputation, with rights bodies warning of long-term consequences.

The blackout, which lasted for several days, caused widespread disruption to businesses, e-commerce, and online education. The tech industry has also called for urgent action, citing the impact on growth and innovation.

This was not the first-time government had shut down the internet and mobile services in Pakistan. In the past, authorities have resorted to internet blockades as a tool to curb spread of mis-information or information they may deem to be against the state. However, more than a tactical response to instability, this has been considered to be an attack at the freedom of expression and a violation of human rights in a democratic state.

International bodies expressed concerns over the information lockdown in Pakistan, calling for restoration of internet services in the country and for the government to respect fundamental freedoms.

The United Nations High Commissioner for Human Rights Volker Turk said “freedom of expression, peaceful assembly and rule of law are key to resolving political conflicts”.

Amnesty international called the services shutdown a “human rights violation”. “The ban on the social media platforms like Facebook, Twitter and YouTube also creates a permissive environment for other human rights violations under the darkness of the internet shutdown. The restrictions must be lifted immediately.” Rimmel Mohydin, regional campaigner at Amnesty International stated.

The shutdown made a significant dent in the cash-strapped economy of Pakistan with the business sector taking a major hit. The move has drawn widespread criticism from businesses, entrepreneurs, and tech industry experts, who have raised concerns over the economic fallout.

As business activities have been affected, the Federal Board of Revenue also lost about Rs2 billion in terms of revenue, but the Pakistan Software Export Association (PSEA) said that a day's business of the information technology sector is $12 million. Therefore, in three days, the PSEA said, the IT sector suffered a loss of Rs10 billion.

According to an official of a telecom company, the mobile broadband services constitute around 60% of their total revenues. Therefore, on a daily-basis, they earn approximately Rs820 million. Additionally, the government receives around 35% of the revenue.

This calculation is based on the fact that the telecommunication companies earned roughly Rs500 billion from cellular services in the previous year. However, this is just an estimate from one industry. The overall economic loss to the country is likely to be massive.

In addition, millions of daily wagers who earn through online modes of income including delivery riders, ride hailers and freelancers were deprived of livelihood due to the internet blackout.

Pakistan's reputation has also taken a hit, with the country being viewed as an unreliable place for investment and business operations. The government has faced criticism for its handling of the situation, with many arguing that it has damaged the country's standing in the global community.

The consequences of the internet shutdown are likely to be felt for some time to come, as Pakistan struggles to restore its image and rebuild its economy. The challenge for the government will be to strike a balance between security concerns and the need for free and open access to the internet.