by At the recent World Artificial Intelligence Conference in Shanghai, Pakistan’s Federal Minister for IT & Telecom, Shaza Fatima Khawaja, engaged in strategic talks with senior representatives from PeaceCable International Network, led by CEO Sun Xiaohua and Sales Director Zhuang Wei. The discussions centered on enhancing Pakistan’s digital footprint through submarine and terrestrial optical fiber cable infrastructure, potentially backed by a multi-billion‑dollar investment .
🔬 Who’s Behind the Project?
- PeaceCable International Network, part of China’s vast telecom ecosystem, brings a global annual revenue of approximately US$24 billion.
- The firm aims to support Pakistan’s National Fiberization Policy, which includes ambitious targets such as:
- Connecting 10 million households to fiber broadband within three years.
- Increasing fiber-based mobile towers from 14% to 60% nationwide.
- Cutting Right of Way (RoW) costs as part of Prime Minister-led reforms.
- China Backed Cable Project Eyes Multi-Billion Dollar Investment in Pakistan.
🧭 Strategic Significance & Connectivity Vision
This initiative aligns with Pakistan’s growing role in global internet infrastructure through major undersea cables like PEACE, SEA‑ME‑WE‑6, TW1, and AAE‑1. Pakistan currently serves as a critical landing point for these cables—positioning the country as an emerging digital hub bridging Asia, Africa, and Europe. These cables already offer tremendous capacity—such as PEACE’s 24 Tbps design per fiber pair—and provide Pakistan strategic leverage over regional internet routes.
💰 Financial Scale: The $2 Billion Sunwalk Plan
Parallel to PeaceCable’s engagement, Sunwalk Group, a Chinese telecom infrastructure firm, has secured a telecom infrastructure provider license in Pakistan. The company plans an investment of $2 billion to deploy 100,000 km of fiber cable, initially covering main line corridors such as Karachi to Peshawar, potentially over 8–10 years. Construction has already started with 5,000 km in progress.
This marks a major private-sector investment in Pakistan’s digital ecosystem, backed by strong policy support from the government.
⚙️ What It Means for Pakistan
Digital Transformation & Revenue Growth
- The massive infrastructure build-out will accelerate broadband access, speed, and diversity—spanning urban and underserved remote areas.
- It creates opportunities for Pakistan to evolve into a digital transit hub, earning transit fees and strengthening its role in intercontinental data flows.
Geopolitics & Technology Diplomacy
- This fits into broader CPEC Belt & Road Initiative goals of forging strategic interconnectivity and reducing dependence on traditional maritime pathways.
- Recent pushback from India against CPEC expansion underscores rising regional sensitivities over sovereignty and territorial alignment.
Challenges: Security, Regulation & Competition
- With increasing attacks on CPEC projects and Chinese nationals in Pakistan, investors are demanding stronger security measures for infrastructure deployment.
- The telecom regulator and government must also ensure transparent bidding, fair licensing, and infrastructure neutrality, to avoid over-centralization or monopoly risks.
✅ Key Takeaways
| Topic | Insight |
|---|---|
| Project Partners | Leading Chinese firms: PeaceCable and Sunwalk Group |
| Investment Scope | ~$2–multi-billion USD, infrastructure buildout spanning submarine and terrestrial fiber |
| Strategic Ambition | Realizing Pakistan’s role as a regional digital hub |
| National Benefits | Enhanced broadband penetration, IT growth, and transit revenues |
| Risks & Considerations | Security challenges, geopolitical scrutiny (e.g., Indian opposition), regulatory oversight needed |
📌 Final Thoughts
This China-backed initiative represents a significant leap toward Pakistan’s digital transformation. It reinforces the country’s strategic location in the global internet infrastructure grid and complements existing undersea cable networks landing in Karachi. However, success hinges on robust security protocols, regulatory transparency, and balancing tech sovereignty with foreign investment.
As Pakistan steers toward its vision of a “Digital Nation,” this cable project could be pivotal—transforming not only its communication backbone but its economic and geopolitical footprint as well.
