AI to Boost Pakistan's Economy by Rs24.9tr by 2030: Ahsan

The Role of AI in Pakistan's Economic Transformation

Federal Minister for Planning, Development and Special Initiatives Ahsan Iqbal has emphasized the significant role that artificial intelligence (AI) is expected to play in Pakistan’s economic development. According to his statements, AI could contribute a staggering Rs24.9 trillion (USD 88.31 billion) to the country's economy by 2030, boosting the projected GDP to Rs171 trillion. This represents a 14.56 per cent increase, showcasing the transformative potential of AI across multiple sectors.

The minister made these remarks during the launch of the URAAN AI Techathon 1.0, an initiative organized by the Ministry of Planning, Development and Special Initiatives. He described the event as a flagship program under the URAAN Pakistan National Innovation Mission. Its primary goal is to engage Pakistan's youth and professionals in addressing real-world challenges through AI, while also building national capacity in artificial intelligence and machine learning.

AI-Driven Growth Across Key Sectors

Several key sectors are anticipated to benefit from AI integration. In agriculture, which contributes 24 per cent to the GDP, AI-powered precision farming could lead to productivity gains of 20-30 per cent. Similarly, manufacturing and mining—accounting for 15.1 per cent of GDP—are expected to see 20-25 per cent improvements through automation.

Healthcare, though only 2.91 per cent of GDP, could witness 15-20 per cent efficiency gains in diagnostics. Education, contributing 1.87 per cent to the economy, may experience enhanced learning outcomes with 10-15 per cent improvements. Fintech and the software industry, representing 2 per cent and 1.5 per cent respectively, are projected to see growth rates of 20-30 per cent.

Governance and infrastructure, making up 11.52 per cent and 5 per cent of GDP, can be streamlined by 10-20 per cent with smart systems. Other sectors such as energy (3.8%), defense (3.5%), law and judiciary (1%), and international collaborations (2%) also hold growth potential of 10-20 per cent.

Strategic Foundations for AI Development

The National Centre of Artificial Intelligence (NCAI) has laid the groundwork for AI research, innovation, and commercialization. Additionally, the National AI Task Force, established in 2023, has identified 12 key sectors for AI adoption under the 2035 National AI Roadmap. Globally, AI is forecasted to add $19.9 trillion to the world economy by 2030, growing at an annual rate of 26.6 per cent and creating 133 million new jobs, despite displacing up to 400 million workers.

For Pakistan, the URAAN Pakistan Techathon 1.0 is more than just a competition; it is a movement aimed at mobilizing innovators, startups, and experts to unlock AI's transformative potential. The initiative seeks to accelerate inclusive growth and position Pakistan as a leader in the global AI revolution.

Empowering Youth and Ensuring Inclusive Participation

The minister highlighted that the Techathon is not merely a competition but a movement to empower youth and transform key sectors of the economy. He noted that AI is no longer the future but the present, reshaping health, education, agriculture, industry, and governance. “Decisions that shape economies today are increasingly driven by algorithms,” he remarked, adding that Pakistan must choose between becoming an active player in this global technological revolution or remaining dependent on others.

He further emphasized that Pakistan will not remain a spectator in the AI revolution but will emerge as a rising leader. To ensure broad participation, the minister announced the launch of a dedicated online portal for the Techathon. This platform will serve as a central hub for registrations, communication, updates, resources, and event coordination. He stressed the importance of inclusive participation, especially from underserved and remote regions, to ensure equitable access to AI opportunities.