Where Is the AI? The Pakistani Digital Economic Development Artificial Intelligence (AI) is mainly linked to efficiency, innovation and economic growth, however, in the case of Pakistan, the process of moving towards an AI-driven future is complicated and slow.

Abstract

Artificial Intelligence (AI) is rapidly transforming economies, governance, and social systems worldwide, yet its adoption in Pakistan faces a complex set of structural, technical, and socio-economic challenges. This article examines the key barriers hindering the effective development and deployment of AI technologies in Pakistan, while situating these challenges within the broader context of global digital transformation. One of the most significant constraints is the limited availability of high-quality, localized datasets. AI systems rely heavily on large volumes of structured and unstructured data, yet in Pakistan, data collection practices remain fragmented, inconsistent, and often inaccessible. The scarcity of datasets in local languages such as Urdu and regional dialects further restricts the development of inclusive AI solutions, particularly in natural language processing and public service applications.