Report By: Muhammad Umar Waqqas
KARACHI: Asad Muzaffar, who has served as a senior member of the Prime Minister’s Special Task Force and as Chief Coordinator for China-Pakistan Economic Corridor (CPEC) Special Economic Zones (SEZs) in Punjab, believes Pakistan is entering a pivotal phase in regional diplomacy and economic development. He has previously served as Resident Director of China Railway 17th Bureau Group.
Muzaffar believes Pakistan is at a transformative moment, with its strategic ties with China and regional position creating opportunities in technology, AI, education and economic cooperation. He argues that technology transfer should be a key priority, enabling Pakistan to turn its diplomatic relationships into tangible economic and technological gains.
“Now my country stands at the doorstep of greatness,” Muzaffar says, while acknowledging that the country continues to face significant internal challenges. He argues that national unity and a forward-looking economic strategy will be essential if Pakistan is to capitalize on the opportunities emerging from geopolitical realignment.
Muzaffar says Pakistan must move beyond diplomacy and make major strides in technology while creating opportunities to retain its skilled youth. He sees the country’s young, educated population as a major economic asset but warns that limited opportunities are driving talent abroad.
Muzaffar describes the resulting migration of skilled workers as a major challenge, while noting that young Pakistanis have legitimate reasons for seeking better platforms overseas.
He believes the solution does not lie primarily in government subsidies.
Rather, Pakistan needs to create an environment in which the private sector, universities, investors and entrepreneurs can develop sustainable businesses and technologies.
“The West has always been driven by the private sector,” he argues, suggesting that Pakistan must move away from an economic culture overly dependent on government support and instead build platforms that enable private-sector-led growth.
A major part of that transformation, according to Muzaffar, must be investment in research and development. He stresses that Pakistan already has policies in several areas but that implementation remains a major weakness.
He attributes the gap partly to inadequate incentives, weak branding of national initiatives, insufficient efforts to create role models and limited attention to developing a collective economic culture capable of encouraging innovation.
Among the sectors he believes Pakistan should prioritize, artificial intelligence occupies a central position.
Muzaffar calls for faster AI adoption across Pakistan, arguing that the country should move beyond being a technology consumer and become a participant in the global AI industry. He sees China as a key partner in this effort, offering opportunities for technology transfer and knowledge-sharing. He also believes CPEC’s second phase, with its focus on education, health and agriculture, can help strengthen Pakistan’s technological and human-capital base.
Muzaffar says the global race for AI leadership is accelerating, making swift action essential. He calls for a strong ecosystem linking government, academia, industry, researchers and investors, while promoting digitisation and commercialisation. He also sees potential for Pakistan to become a major outsourcing hub for Chinese AI tools, systems development and related technology services.
He believes such opportunities could generate substantial business while creating high-value employment for Pakistan’s growing pool of young professionals.
The challenge, however, is to ensure that the country’s education system is prepared for this transition.
Muzaffar calls for greater attention to the foundations of education and skills development, arguing that Pakistan needs to rethink how its young population is prepared for an economy increasingly shaped by technology and AI.
It is time to address the foundations of Pakistan’s education system, as highlighted by education specialists such as World Bank Senior Education Specialist Izza Farrukh, as well as policymakers and technology leaders including Ministry of IT and Telecom’s AI Authority Chairman Ali Dar. Their expertise and forward-looking approach offer valuable guidance for building a stronger educational foundation and preparing Pakistan’s youth to meet the challenges and opportunities of the future.
Ultimately, Muzaffar believes Pakistan’s greatest advantage may be the combination of its strategic location and its young population.
He argues that the country has an opportunity to convert its demographic strength into technological and economic strength if the right institutions, incentives and partnerships are put in place.
For him, the present moment represents an unusual convergence of circumstances: Pakistan has an expanding youth population, deepening ties with China, growing regional importance and access to rapidly developing technologies.
The question, he suggests, is whether the country can convert those advantages into sustained economic growth.
Muzaffar remains optimistic that it can.
“We are at the right place and at the right time, Pakistan’s demographic profile and youthful population give it the potential to become an important participant in shaping the next phase of the global economy. The opportunity, however, will depend on how quickly Pakistan can move from policies and aspirations to implementation, innovation and commercially viable technological ecosystems.” Asad Muzaffar tells The Financial Daily.
