Although Pakistan has a rapidly growing digital population, spending on research and industrial automation remains limited
Pakistan, by contrast, has opted out of the ITA, one of the world’s most successful digital trade agreements, whose membership has grown to 86 countries representing over 97% of global digital trade.: photo: file
KARACHI:
The global economy is undergoing a seismic technological shift. Robotics, automation and artificial intelligence are no longer futuristic ideas, they are now primary drivers of productivity, competitiveness and innovation.
According to the International Federation of Robotics (IFR), industries worldwide will deploy over 553,000 new industrial robots in 2023, marking a historic peak in automation demand. Meanwhile, global investment in artificial intelligence is projected to exceed $300 billion by 2026, International Data Corporation (IDC) estimates. The world is accelerating rapidly, but Pakistan risks being left behind unless decisive and strategic action is taken.
Pakistan’s current position in global technological competitiveness reflects this urgency. The World Intellectual Property Organization’s Global Innovation Index 2024 ranked Pakistan 88th out of 132 countries, lagging significantly behind regional counterparts such as India (40), China (12) and even Iran (62).
Although Pakistan has a young and rapidly growing digital population, its contribution to innovation, including spending on research, patenting, quality of STEM education and industrial automation remains limited.
One of the clearest indicators of Pakistan’s backwardness is the extremely low adoption of industrial robotics. While China deployed more than 290,000 robots by 2023, India installed over 4,000, and Southeast Asian economies such as Vietnam and Thailand installed several thousand annually, Pakistan’s installations remain negligible estimated in the low hundreds, mostly in auto assembly plants and select textile units. This places Pakistan well below global benchmarks for robotics penetration per 10,000 manufacturing workers, a critical indicator used by the IFR.
The development of artificial intelligence, too, is developing slowly despite significant potential. Estimates suggest that Pakistan’s AI industry is currently valued at around $100-120 million, a fraction of India’s AI ecosystem, which already exceeds $7.8 billion in valuation.
Global technology companies and venture investors have poured tens of billions of dollars into the research and development of artificial intelligence models, automation platforms and robotics labs. Pakistan, however, lacks a coherent national AI strategy, consistent funding pipelines, or large-scale industrial automation programs that could unlock similar growth.
Pakistan has strong foundations that can be leveraged. The country produces more than 35,000 IT and engineering graduates annually, according to the Higher Education Commission (HEC). Freelancers and digital workers generate over $400 million in annual export revenue, reflecting global demand for Pakistan’s technical talent. Additionally, private sector initiatives from robotics startups in Karachi and Lahore to automation efforts at large industrial conglomerates demonstrate that capacity exists when given the right incentives and resources.
Pakistan needs to shift from fragmented initiatives to a coordinated national strategy. Three priority areas stand out. First, the country needs to invest in industrial automation at scale. The manufacturing sector, which accounts for nearly 12-13% of GDP, suffers from low productivity, energy inefficiency and technology gaps.
The adoption of robotics in textiles, food processing, pharmaceuticals and logistics can significantly increase competitiveness in export markets. Government-backed tax incentives for robotics equipment, low-interest automation loans and partnerships with countries such as China, South Korea and Japan could accelerate industrial modernization.
Second, research and development (R&D) must be strengthened. Pakistan’s gross expenditure on R&D is less than 0.3% of GDP, well below the global average of 2.3% and dramatically lower than innovation leaders such as South Korea (4.9%) or China (2.4%).
Without significant investment in university labs, applied AI research centers and industry-academia partnerships, Pakistan cannot produce the intellectual property or advanced technical solutions needed to advance robotics and AI. The establishment of National Robotics Centers, jointly funded by the government and the private sector, would be a game-changing step.
Third, talent development and regulation must be prioritized. Pakistan urgently needs specialized curricula in artificial intelligence engineering, machine learning, robotics design, control systems and industrial automation. Short courses and certifications are not enough. Universities should integrate hands-on robotics labs and co-industry training into curricula.
At the same time, Pakistan needs to design a regulatory framework for AI ethics, data governance, cyber security and secure development. Without clear guardrails, industries will be reluctant to invest.
Recent government efforts, such as the Special Investment Facilitation Council (SIFC) targeting technology investment, and the proposed National Artificial Intelligence Strategy by the IT Ministry indicate a growing recognition of the need for reform. However, policy action has been slow, funding remains limited and coordination between ministries is limited. If Pakistan wants to capitalize on the global changes in automation and artificial intelligence, it needs to treat technology as a central pillar of economic policy, not a peripheral sector.
The World Economic Forum estimates that AI and automation could generate $15.7 trillion in global economic value by 2030. Countries that integrate robotics into manufacturing and AI into services will gain a decisive productivity advantage.
Pakistan’s export industries, already struggling with high input costs and low productivity, risk losing global market share if they fail to modernize. Instead, with the right policies, Pakistan could unlock a new wave of technology-driven growth, create high-value jobs and transform its industrial base.
The “robotics and artificial intelligence race” is not about machines replacing humans. These are countries that are equipping their people with the tools they need to compete in a world fueled by automation. Pakistan has the youth, the talent and the strategic geographical location to participate meaningfully in this global transformation. What it lacks is coordinated investment, regulatory clarity and long-term technological vision.
The message for Pakistan’s policymakers and business leaders is clear: the world does not wait. Robotics and artificial intelligence are reshaping global commerce, industry and innovation at unprecedented speed. Pakistan must act decisively and strategically now or risk being left on the sidelines of the new digital economy.
The author is a member of PEC and has a Masters in Engineering
a href=”https://tribune.com.pk/story/2581087/bridging-the-gap-for-digital-future”>Source link
