Pakistan’s leapfrogging moment

In the early 2000s, Kenya was not seen as a global technology hub. Yet, within two decades, it became the beating heart of Africa’s digital economy, often referred to as Silicon Savannah.

The transformation was not gradual – it was a leap, fueled by bold decisions, policy shifts, and a nationwide embrace of technology.

At the core of this shift was leapfrogging, the idea that developing nations can bypass outdated stages of progress and jump directly into the future.

Kenya’s success was not just about mobile money and fintech innovations like M-Pesa. It was a government-enabled, private-sector-driven revolution that unlocked new economic opportunities. Today, Pakistan stands at a similar crossroads.

With the rise of Artificial Intelligence (AI), we have a unique opportunity to leapfrog past our industrial inefficiencies, bureaucratic hurdles, and outdated economic structures. But while the technology is available, the real question remains – is our government ready to take the necessary steps?

Leapfrogging: a choice, not a coincidence

• Many countries have followed a linear path to development – from agrarian economies to industrialization, then digital transformation. But technology has broken that pattern. Kenya never fully developed a traditional banking system before mobile money became dominant. China did not wait to build physical retail infrastructure before e-commerce took over. Similarly, Pakistan does not need to wait for slow reforms when AI offers an accelerated path to progress.

However, leapfrogging is not an automatic process. It requires a clear vision, policy alignment, and government commitment. Kenya’s rise as a tech hub was fueled by proactive regulation, investment in digital infrastructure, and policies that encouraged innovation. Pakistan needs to adopt a similar approach, making AI a national priority rather than a scattered private-sector experiment.

The role of government in an AI-powered future

• Technology alone cannot transform an economy. It needs an ecosystem that allows it to thrive. While Pakistan’s private sector and entrepreneurs are eager to explore AI, the absence of a supportive regulatory framework is holding back large-scale adoption.

The first and most critical transformation must happen in government policy. AI innovation is currently hindered by bureaucratic inefficiencies, outdated regulations, and a lack of clear governance around data and digital finance. Without a national AI strategy, businesses operate in uncertainty, and foreign investors hesitate to enter the market. Kenya’s success with fintech was largely due to government-backed regulatory frameworks that allowed mobile payments to scale rapidly.

Pakistan must follow suit, removing barriers that slow down AI-driven innovation and ensuring policies actively encourage investment in AI startups, research, and infrastructure.

Beyond policy, AI must be embedded within government services to set the tone for nationwide adoption. If AI can drive predictive governance, streamline tax administration, and improve public service delivery, it will not only increase efficiency but also set an example for businesses and industries to follow.

Kenya’s government actively embraced mobile payments for government transactions, making financial services more accessible. Pakistan has an opportunity to do the same by integrating AI into public health services, digital governance, and urban planning.

But perhaps the most crucial area of government intervention is education and workforce development. Leapfrogging requires more than just adopting technology – it demands the ability to create, manage, and scale it locally. Without a well-trained workforce, Pakistan will remain dependent on imported AI solutions rather than developing its own. Kenya invested heavily in tech hubs, incubators, and university collaborations to build local expertise. Pakistan must fund AI research, develop specialized AI training programmes, and integrate AI into its higher education system to ensure that it has the human capital needed to sustain long-term growth.

The window of opportunity

• Pakistan does not have the luxury of slow transformation. The global AI revolution is moving rapidly, and countries that fail to adapt risk being left behind. AI has the potential to revolutionize Pakistan’s logistics industry by eliminating inefficiencies, drive agricultural innovation through precision farming, expand financial inclusion through AI-driven banking, and modernize healthcare with predictive diagnostics and telemedicine. But none of this can happen if the government fails to build the infrastructure, policy framework, and talent pipeline necessary for AI to thrive.

The question is no longer whether AI can transform Pakistan – it is whether Pakistan’s leadership is willing to take bold, decisive steps to embrace it. Kenya’s Silicon Savannah was not an accident; it was a result of deliberate choices. The same choice is now before Pakistan.

We can either embrace AI as a leapfrogging opportunity and position ourselves as a leader in the digital economy, or we can hesitate, delay, and watch other nations pull ahead while we struggle to catch up.

History will judge us by the decisions we make today. The future is not something we step into – it is something we create. The only question that remains is: will we take the leap?

Copyright Business Recorder, 2025