ISLAMABAD: Prime Minister Shehbaz Sharif on Saturday described Pakistan’s small and medium enterprises (SMEs) as the backbone of national economy, issuing directives to take necessary measures to integrate them into the global supply chain, according to a statement from his office.
Pakistan has been striving to attract foreign investment as it recovers from a prolonged economic crisis characterized by a tough balance of payments situation, dwindling foreign currency reserves and a depreciating national currency.
While the government has signed various agreements with close allies and sought to promote business-to-business partnerships to drive growth, Sharif recently noted that foreign investment would remain elusive without first strengthening domestic investment.
“Small and medium enterprises are the backbone of the economy,” he said while presiding over a meeting in Lahore to evaluate the SME sector, according to the statement. “Comprehensive steps are needed to make Pakistani industries a part of the global supply chain.”
The prime minister received a detailed briefing on the operations of the Small and Medium Enterprise Development Authority (SMEDA) and was told its board of directors had been constituted and had started holding regular meetings.
“The process of hiring international-standard experts for the development of the SME sector has been initiated,” the official statement said.
“The State Bank of Pakistan has also instructed banks to simplify and streamline the loan application forms for SMEs,” it added.
The meeting was also informed that authorities were in the process of gathering data on SMEs across Pakistan to enable informed decision-making for the sector.

ISLAMABAD: Pakistan’s telecom regulator said on Saturday it had arranged temporary bandwidth to address degraded Internet services caused by a fault in the Asia-Africa-Europe-1 (AAE-1) submarine cable, ensuring Internet stability across the country.
The AAE-1 cable is one of seven international undersea cables connecting Pakistan to the global Internet. Disruptions in these cables can significantly impact Internet performance, affecting individual users and businesses reliant on stable connectivity for daily operations.
“The Pakistan Telecommunication Authority (PTA) announces that to address the issue of degradation of Internet services due to fault in AAE1 submarine cable on January 2, 2025, ad hoc bandwidth has been arranged and added in the system,” the PTA said in a statement. “Now there is no degradation of Internet services across the country.”
The telecom regulator added it was actively monitoring restoration efforts for the AAE-1 cable and remained committed to ensuring stable services throughout the process.
The fault comes amid growing scrutiny of the Pakistan government’s handling of Internet and social media policies.
Following the February 2024 general elections, marred by allegations of irregularities, the government faced severe backlash over a ban on X, formerly known as Twitter. Local media also reported the government’s decision to establish an Internet firewall aimed at controlling “anti-state propaganda” and content deemed blasphemous, stirring further controversy.
Freelancers and businesses were also instructed later in the year to register VPNs to access online platforms, prompting public outrage, though the government extended the compliance deadline indefinitely since only a fraction of users had adhered to the directive.
Digital rights activists and political rivals accused the government of using these measures to suppress dissent, with a coalition partner, the Pakistan Peoples Party (PPP), also voicing concerns.
PPP Chairman Bilawal Bhutto-Zardari criticized the government for Internet slowdown, questioning why submarine cable faults always disproportionately affected Pakistan.