Pakistan may become next big market for tech startups: report.

Pakistan may be Asia's next big tech startup market, according to a report published by Germany's Deutsche Welle on Wednesday.

According to DW, Pakistan's young population and increasing levels of local capital are creating opportunities for tech entrepreneurs to explore the country's market.

Pakistan has been named one of the fastest-growing economies in Asia in McKinsey and Co's latest report on the Pakistani ecosystem, DW said.

Quoting the same report, DW said that 720 startups have been created in the country since 2010 - 67 per cent of which are still operational.

Presenting an example of how Pakistan's startup scene is garnering support worldwide, the DW article said that Egyptian ride-hailing company, Swvl, has recently disclosed plans to invest $25 million in Pakistan's tech sector over the next two years to fund pre-seed startups and create 10,000 jobs.

The article further pointed out that the startup industry 'is central to government plans to create an enabling environment and stimulate economic growth' and that in the later half of 2019, Pakistan passed six reforms focused on creating a better environment for tech-based businesses in the country.

These measures look to ease the regulatory environment for businesses, including the introduction of a three-year tax relief and creating an online one-stop registration system, through which 'companies can now be incorporated in 17 days, rather than 20, at a reduced cost of 1.1pc,' the DW said.

According to DW, these reforms seem to be effective as, 'Pakistan's position in the World Bank's Ease of Doing Business report jumped from 136th place in 2018 to 108th place in 2019'.

The article - while pointing out that startups in Pakistan raised $18.8 million in funding in 2019 - said that 'more capital is expected to flow into startups from overseas in the ensuing years'.

The DW article also welcomed the launch of the 'Digital Pakistan' initiative in December 2019. The initiative - headed by former Google executive Tania Aidrus - has the agenda to increase access and connectivity, enhance digital education and introduce a new era of e-governance in Pakistan.

'Pakistan's tech ecosystem has been slowly gaining momentum in...