Pakistan’s video game industry struggles to fetch foreign exchange, create jobs for developers

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Updated 17 September 2023
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Pakistan’s video game industry struggles to fetch foreign exchange, create jobs for developers

  • The country earned $171 million by developing video games last year, reflecting a small share in the $300 billion global market
  • Pakistani universities do not offer animation and gaming degrees, making it hard for local developers to compete internationally

ISLAMABAD: Pakistan’s video game industry has gained international recognition by developing award-winning products, though it has not found it easy to generate foreign exchange or create jobs for young developers in the absence of government support and international payment gateways like PayPal, as admitted by leading industry players this week.

The gaming studios in the country contributed $171.3 million to the national economy last year, reflecting its minuscule share in the over $300 billion global market.

Pakistan’s video game industry employs nearly 8,500 people who help local companies create products for different platforms, including cellphones, desktops, Mac devices, and consoles like PlayStation and Xbox.

Speaking to Arab News, Chairman of the Pakistan IT Industry Association, Muhammad Zohaib Khan, maintained that the country could employ 3,000 more developers annually to achieve a 30 percent year-on-year growth in the industry’s foreign remittances, provided it invested in human resources and skills development programs.

“We need to invest in the game development and animation skills of our youth to get a fair share in the global gaming industry,” he said. “Our designers and professionals will have to be trained to compete at the international level by developing quality products.”




A video game designer draws character sketches on a digital tablet at weRplay, a game development company based in Islamabad, Pakistan, on September 14, 2023. (AN Photo)

Fawad Asghar, the chief technology officer of weRplay, an award-winning game development company based in Islamabad, concurred with him.

“Pakistan does not even have one percent [share of the global gaming industry],” he said while mentioning lack of training opportunities in game development at Pakistani universities along with the absence of government support for the industry.

Asghar’s company was launched in 2010 and employs nearly 250 people. It has created about 40 games in all these years, including “Lost Twins 2” that won international awards on the basis of its demo released on iOS, Android, PC, Mac, and Nintendo etc.

The organization plans to release the game on all platforms within the next few months.

“We hope it will be a big win for us,” he said, saying that developers in his company took up about four years to develop the game. “It will be, I guess, the biggest game so far for weRplay.”




A video game developer at weRplay, a game development company based in Islamabad, Pakistan, develops animations for video games on September 14, 2023. (AN Photo)

Responding to a question about the company’s revenue stream and target audience, Asghar said about 90 percent of the income was made through downloads and ads, and much of it came from the United States.

Another game produced by the company, “Run Sheeda Run,” had one million downloads in Pakistan, though he said it was really difficult to make revenue here.

Explaining the reasons behind the low revenue of video games in Pakistan, co-founder of tecHouse Games in Lahore Sanwal Nawaz said the cost per ad impression rate in the country for 1,000 was just Rs30 to Rs40 ($0.1 to $0.13) while it was $15 to $20 in the US and European markets.

“We don’t have a good economy,” he told Arab News. “Therefore, those who play games in Pakistan don’t go for in-app purchases which keeps our revenue negligible.”

Nawaz pointed out the developers in Pakistan lacked capital to market and promote their games online to capture greater market in the western countries since they would have to pay a minimum $300 per day for the purpose after the game was launched.

“If you don’t invest in marketing, it means your game will not be doing good in terms of revenue,” he continued, adding the industry was getting tough for those with minimum capital since Google had recently changed its algorithm to promote only paid ads.

Additionally, Nawaz pointed out Pakistani universities were not offering animation and gaming degrees unlike the developed world, saying this made it difficult for developers to compete at the international level with just certificate courses in game development.

“There is no shortcut in this industry,” he said. “Your product will sell only if it meets the international standards.”




The screengrab taken on September 14, 2023, from a video game shows the start screen of the game 'Explottens'. (AN Photo)

Discussing the impediments to the industry’s growth, Khizar Javed, director of business operations at weRplay, said it was not easy to pay employs working for the company from other countries.

“We have to go through the hassle of withdrawing money before depositing it in [employee] accounts through other channels that are not so cheap,” he said, adding the authorities should bring payment gateways like PayPal and Stripe in Pakistan since they were “pretty convenient and cost effective for money transfers.”

Despite all the odds, he noted that weRplay had produced award-winning games.

Huda Mahmood Khan, who worked on “Lost Twins 2” and “Explottens” for the company, described Hayao Miyazaki, a Japanese animator and filmmaker, as her inspiration.

“If you see them, they have a very immersive but a bit unrealistic world which we have created,” she said.

Khan specifically mentioned “Explottens,” saying it was selected in the top 30 games from across the world and subsequently did very well.

She said it was an action arcade game that revolved around “cats that are flying on planes and have their own world.”

“We built that world and the whole game around [that concept],” she added.


Pakistan vows retaliation, saying three bases targeted by Indian missiles

Updated 22 min 47 sec ago
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Pakistan vows retaliation, saying three bases targeted by Indian missiles

  • Army says Nur Khan base, Murid base in Chakwal district and one Shorkot targeted by Indian missiles
  • Reports came after Chaudhry said in sudden statement India fired ballistic missiles that fell in Indian territory

ISLAMABAD: Pakistan Military Spokesperson Lt. Gen. Ahmed Sharif Chaudhry said on Saturday India had attacked multiple bases in Pakistan, vowing retaliation.

In the latest confrontation between the two longstanding enemies that began on Wednesday, India said it hit nine “terrorist infrastructure” sites in Pakistan in retaliation for what it says was a deadly Islamabad-backed attack in Indian-administered Kashmir on April 22. Pakistan says it was not involved and denied that any of the sites hit by India were militant bases. It said it shot down five Indian aircraft on Wednesday.

Pakistan’s military said on Friday it shot down 77 drones from India at multiple locations, including the two largest cities of Karachi and Lahore, and the garrison city of Rawalpindi, home to the army’s headquarters.

On Saturday early morning, panic rang out in Pakistan as reports emerged that Pakistan Air Force’s Nur Khan base had been hit. 

The Nur Khan air base in Rawalpindi, where the military has its headquarters, is around 10 kilometers from the capital, Islamabad.

In televised remarks, the military spokesman said three bases, Nur Khan, PAF Base Murid, an operational flying base of the Pakistan Air Force located near the village of Murid in the Chakwal District of Punjab, and one in Shorkot, had been targeted by Indian missiles. 

“Now you just wait for our response,” Chaudhry said.

The reports came after Chaudhry said India fired ballistic missiles that fell in Indian territory, announcing it in a sudden statement on national broadcaster at 1:50 a.m. local time on Saturday (2050 GMT), with no details provided to support the claim.

“I want to give you the shocking news that India fired six ballistic missiles from Adampur. One of the ballistic missiles hit in Adampur, the rest of the five missiles hit in the Indian Punjab area of Amritsar,” the army’s spokesman said in his short video statement.

Amritsar’s district commissioner in a text message between Friday and Saturday said: 

“Don’t panic. Siren is sounding as we are under red alert. Do not panic, as before, keep lights off, move away from windows. We will inform you when ready to resume power supply.”

Around 48 people have been killed since Wednesday’s conflagration, according to casualty estimates on both sides of the border that have not been independently verified. 


Pakistan military says it will not let India set precedent for cross-border strikes

Updated 09 May 2025
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Pakistan military says it will not let India set precedent for cross-border strikes

  • Military spokesperson says Pakistan has ‘every right to protect its honor, integrity and sovereignty’
  • He says India has been equipping people against Pakistan while running ‘terrorist’ training camps

ISLAMABAD: Pakistan’s military said on Friday it would not allow India to “set a new norm” where it could carry out cross-border strikes at will, vowing to defend the country’s sovereignty and respond at a time and place of its choosing.

The two South Asian nuclear rivals have been on the brink of a full-scale war since India carried out strikes on multiple locations in Pakistan on Wednesday, in response to a deadly April 22 attack in Indian-administered Kashmir that left 26 tourists dead. New Delhi blamed Islamabad for the attack, a charge Pakistan has denied.

In the days since, Pakistan has claimed to have downed five Indian fighter jets and over 75 drones, while India said it had retaliated against Pakistani air and drone assaults by destroying an air defense system in Lahore.

Global powers have urged both sides to exercise restraint, but tensions remain high.

“They want to set a new norm that at their convenience, whenever they feel like it, they will go cross-border, cross-international, and hit wherever they like,” Pakistan military spokesperson Lt. Gen. Ahmed Sharif Chaudhry said in a briefing to foreign media.

“What do you think of Pakistan — that we will allow all this to happen after clearly saying we have every right to protect the honor, integrity and sovereignty of our people?”

He added that Pakistan would respond “at the time, place and method of our choosing.”

During the briefing, Chaudhry displayed images of children killed in Indian strikes and asked journalists to keep them in mind.

“Please remember these pictures when you talk about what’s happening on the ground and when you ask us what Pakistan is going to do,” he said.

Accusing India of sponsoring “terrorism,” Chaudhry alleged that Indian agencies were operating training camps inside their country and directing armed groups to increase attacks on Pakistani soil.

“They have networks of people whom they train and equip with weapons,” he said. “Instructions have been issued to terrorist groups to ramp up activities against Pakistan.”

India and Pakistan have fought multiple wars, but this is the most serious escalation since both countries became declared nuclear powers in May 1998.

The disputed Himalayan region of Kashmir, which both sides claim in full but control in part, has long been a flashpoint and the cause of repeated military skirmishes.


PM Sharif announces IMF approval of $1 billion disbursement to Pakistan under $7 billion deal

Updated 09 May 2025
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PM Sharif announces IMF approval of $1 billion disbursement to Pakistan under $7 billion deal

  • The prime minister expresses satisfaction India’s ‘efforts to sabotage’ the loan program had failed
  • He says Pakistan’s economic situation is improving and it is moving toward financial progress

KARACHI: The International Monetary Fund (IMF) approved a $1 billion disbursement for Pakistan under a loan program secured by the government last year, Prime Minister Shehbaz Sharif said in an official statement late Friday.

The announcement followed an IMF Executive Board meeting to finalize staff-level agreements related to the $1 billion payout, as well as Pakistan’s new $1.3 billion arrangement under a climate resilience facility approved in March.

The meeting took place at a time when Pakistan is working to revive investment amid a gradually stabilizing macroeconomic environment, following a prolonged downturn that compelled it to seek external financing from allies and global lenders.

“Prime Minister Shehbaz Sharif expressed satisfaction over the IMF’s approval of the $1 billion tranche for Pakistan and the failure of India’s underhanded tactics against the country,” his office said in a statement issued after the board’s decision.

Media reports said recently India had attempted to pressure the IMF to block the disbursement, citing heightened military tensions between the two neighbors following a deadly April 22 attack in Indian-administered Kashmir that left 26 tourists dead.

New Delhi blamed Islamabad for the assault, an allegation Pakistani officials repeatedly denied.

Sharif said international financial institutions had “responsibly rejected” India’s narrative and reaffirmed their trust in Pakistan’s economic strategy.

“Indian efforts to sabotage the IMF program have failed,” he said, adding the disbursement would help stabilize the economy and steer it toward long-term recovery.

He praised Deputy Prime Minister and Foreign Minister Ishaq Dar, Finance Minister Muhammad Aurangzeb and other members of the government’s economic team for their role in securing the funds.

Pakistan has been working to broaden its tax base, improve energy sector efficiency, and unlock private sector growth as part of its reform commitments under the $7 billion IMF loan program.

“By the grace of God, the country’s economic situation is improving, and Pakistan is moving toward progress,” Sharif said. “The government remains committed to tax reforms, energy sector improvements and private sector development.”

He reiterated that Pakistan would stay the course on economic stabilization, effective performance and long-term planning.

The IMF funding approval comes at a critical time for Pakistan, as it seeks to reassure global investors and shore up foreign exchange reserves amid geopolitical instability and upcoming budget negotiations.


Pakistan accuses India of targeting civilians along Kashmir border amid intensifying hostilities

Updated 09 May 2025
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Pakistan accuses India of targeting civilians along Kashmir border amid intensifying hostilities

  • Army spokesperson says Pakistan has limited its response to Indian military posts across the LoC
  • He denies Indian claims Pakistan launched large-scale drone and missile attacks across the border

ISLAMABAD: Pakistan’s military on Friday accused India of deliberately targeting civilians along the Line of Control (LoC), the de facto border in the disputed Kashmir region, as tensions between the two nuclear-armed neighbors escalated sharply this week.

Fighting between the South Asian rivals intensified after India carried out strikes on multiple locations in Pakistan on Wednesday, in response to a deadly April 22 attack in Indian-administered Kashmir that left 26 tourists dead. New Delhi blamed Islamabad for the attack, a charge Pakistan has denied.

In the days since, Pakistan has claimed to have downed five Indian fighter jets and over 75 drones, while India said it had retaliated against Pakistani air and drone assaults by destroying an air defense system in Lahore.

The cross-border violence also had a devastating impact on civilians living along the LoC, with both sides trading heavy fire over the past two days.

“Pakistan has been receiving the Indian artillery shelling,” the military’s spokesperson, Lt. Gen. Ahmed Sharif Chaudhry, told Türkiye’s TRT World in an interview.

“Unfortunately, they are targeting, deliberately targeting, the civilians,” he continued. “Pakistan is now firing on the posts from where the [Indian] artillery and the military are firing. We are concentrating and putting our fire only on military targets.”

Chaudhry said Pakistan’s response was defensive and restrained, limited to small arms fire against Indian military positions.

He also denied New Delhi’s claims that Pakistan had launched large-scale drone or missile attacks across the international border, calling them “fabrications” designed to fuel a “media frenzy.”

“Since last night, they [India] have created a media blitz that Pakistan has launched drones, aircraft and a massive attack across the international border,” he said, adding: “In 21st century warfare, everything has an electronic signature. If there have been attacks with missiles from the Pakistani side, there has to be an electronic signature.”

Chaudhry further accused India of “gagging” international and domestic media as well as controlling digital platforms, saying it was using its new organizations to spread disinformation hour after hour.

The LoC has long been a flashpoint between India and Pakistan, both of which claim the disputed Kashmir region in full but control only parts of it. The latest hostilities mark one of the most serious flare-ups in decades.


Pakistani stocks surge sharply on IMF optimism, hopes of easing India-Pakistan standoff

Updated 09 May 2025
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Pakistani stocks surge sharply on IMF optimism, hopes of easing India-Pakistan standoff

  • The benchmark KSE-100 index rose 3,647.82 points, or 3.52 percent, to close at 107,541.45
  • India-Pakistan tensions triggered about 12 percent market decline between April 23 and May 8

KARACHI: The Pakistan Stock Exchange (PSX) rebounded sharply on Friday, climbing over 3,500 points, as investor sentiment improved ahead of an International Monetary Fund (IMF) Executive Board meeting and what some analysts described as easing tensions between Pakistan and India.

The benchmark KSE-100 index recovered 3,647.82 points, or 3.52 percent, closing at 107,541.45, after a historic plunge of 6,482 points on Thursday, the largest single-day drop in the index’s history, triggered by fears of an escalating conflict between the two nuclear-armed neighbors.

"The recovery was on account of optimism on IMF Executive Board meeting scheduled to consider Extended Fund Facility (EFF) program, where market expects smooth approval," Topline Market Review said after the end of trading. "Overall decline in cross border hostilities also provided stimulus to investor sentiment."

The EFF, a $7 billion loan program secured by Pakistan in September last year, is aimed at stabilizing the country's economy through structural reforms and fiscal consolidation.

While Pakistan’s authorities say macroeconomic indicators have improved in recent months, they view the IMF support as critical for sustaining gains and transitioning toward growth.

Some analysts also linked the improved investor confidence to what they described as a gradually easing geopolitical situation between India and Pakistan.

"Stocks staged sharp recovery as investor eye de-escalation in Pakistan-India tensions after US appeal for end to violence," Ahsan Mehanti, the Chief Executive Officer of Arif Habib Commodities, told Arab News.

Raza Jafri, the head of Intermarket Securities, said any de-escalation could extend the positive stock market trend.

"Institutional value buying, especially in blue-chip high dividend yielding stocks, saw the KSE100 rebound today," he added.

Tensions between India and Pakistan spiked this week after New Delhi launched missile strikes on multiple locations in Pakistan, blaming Islamabad for a deadly April 22 attack in Indian-administered Kashmir that killed 26 tourists. Pakistan has denied involvement.

The crisis triggered a 12 percent decline in the Pakistani market from April 23 to May 8.

The geopolitical unrest posed a major challenge for Prime Minister Shehbaz Sharif’s efforts to stabilize the economy, which depends on a number of factors including increased foreign investment, exports and revenue generation.