LAHORE: Pakistan’s 9 pm shop-closing rule, introduced to save electricity, has cut daily customer transactions by 42 percent, shrunk trading hours and driven families away from shopping, while delivering energy savings that many retailers say they cannot see on their own bills, a new study has found.
The study, The Impact of Early Closing Time Regulations on Pakistan’s Retail Sector, was presented at the FPCCI regional office in Lahore. It is based on interviews with 1,046 consumers, 300 retailers across 53 malls and markets in 10 cities, and 25 key informants, along with a benchmarking of 15 countries.
Average daily operating hours fell from 11.2 to 9.6, a loss of 1.6 trading hours. Daily transactions per outlet dropped from 86 to 50. Retailers rating their sales as good fell from 79 percent to 34 percent, and those reporting high profitability declined from 67 percent to 26 percent.
The loss is tied to timing. Retailers reporting heavy evening traffic between 4 pm and 8 pm fell from 63 per cent to 32 percent. A footwear and apparel executive told researchers that 40 to 50 percent of a day’s footfall arrives between 7 pm and 9 pm, precisely the window now closed.
Shopkeepers are adapting, but not fully. About 73 percent now open earlier, 34 percent have started or expanded online sales and 12 percent have cut staff. Industry representatives said online shopping is not replacing lost walk-in business.
The same squeeze is visible on the consumer side. Some 53 percent of consumers say finding time to shop has become harder, as office workers finishing around 6 pm have little time left. Average monthly shopping trips fell seven percent, but women’s trips fell 19 percent, from 7.2 to 5.8.
Habits are shifting too. Family shopping has declined, with those rarely or never shopping with family rising from 62 percent to 71 percent. Leisure shopping has fallen sharply, from 74 percent to 87 percent of people rarely or never doing it. Neighbourhood shops gained ground, rising from 27 percent to 31 percent, while malls slipped from eight percent to six percent.
Public opinion is split: 35 per cent of consumers support early closing, 33 percent are neutral and 32 percent oppose it. Among retailers, 50 percent are opposed. While 56 percent of retailers believe the energy-saving goal was achieved, only 41 percent saw
Only Pakistan and Bangladesh, among the 15 countries studied, restrict shop hours specifically to save energy, and Bangladesh has changed its rules seven times since April. Other countries cut consumption differently: Brazil used electricity quotas, achieving a reduction of over 20 percent, while France’s retail efficiency measures saved around 15 percent without altering opening hours.
Ten of 25 key informants said traders were not consulted before the decision. One executive noted businesses need four to six weeks to adjust, yet rules changed again before they could.
Stakeholders recommended consulting traders, extending closing times to 10 pm or 11 pm, targeting energy use directly through solar power and loss reduction, and introducing sector-specific and seasonal relief. The study urges evidence-based communication and policy advocacy, backed by trader consultation.
Copyright Business Recorder, 2026
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