More than two years after it took effect, Pakistan’s World Bank-funded digital economy project has spent only a small share of its money. According to a World Bank document, just $8.36m, or 12.09%, of the $69.16m Digital Economy Enhancement Project has been disbursed, leaving $60.8m unspent. The project was approved in March 2024, became effective in May 2024 and is scheduled to close on July 31st, 2028.
Despite the slow progress, the Bank rated both progress towards the project’s objectives and its overall implementation as “moderately satisfactory”, and it described the overall risk as “moderate”.
The project aims to improve the government’s ability to provide digital services to citizens and businesses. Its components include strengthening digital-economy governance and service delivery, at an estimated cost of $58m; building the Pakistan Business Portal, at $15m; and project management, at $5m.
Some progress has been made in building basic digital infrastructure. The National Database and Registration Authority (NADRA) has issued 2.3m digital IDs. The PakID Vault can store 11 types of verifiable credentials. An Enterprise Architecture Framework has been completed, and a draft Data Governance Policy has been published for public consultation.
Several important targets, however, remain far from being met. The National Data Exchange Layer, which allows government databases to share information, had handled 650,000 transactions as of August 2026, against a target of 13.333m by the end of the project. Only six government entities have connected to it, compared with a target of 40 by November 2027. Just one private company has joined, against a target of 13.
Other targets show mixed results. The digital vault can hold 11 types of credentials, compared with a target of 40. The national citizen-services portal offers 18 services, close to its target of 20.
The business portal has made the least progress. It has not processed any registrations, licences, certificates or similar transactions, against a target of 4,000 a year by November 2027. No business payments to government or other regulatory services are available online, compared with a target of 50%.
Women’s participation remains low. Women accounted for 9.2% of users of digital services, compared with a target of 30%, and no data are yet available on young users.
The Bank has asked the Ministry of IT and Telecommunication, working under the Digital Nation Pakistan Act 2025, to agree on a timetable for digitising and connecting services. The plan would be prepared with the Pakistan Digital Authority and federal and provincial governments and cover the next six months, one year and two years. The ministry must also publish the Enterprise Architecture Framework with a plan for implementing it, formally adopt and implement the data-governance and interoperability policies, and complete a feasibility study for the National Fiberisation Plan.
With less than two years remaining and most of the money still unspent, the project will need to move much faster to meet its targets. The Bank’s relatively favourable rating contrasts with how far most measurable targets remain from completion.