Latest news with #LUMS
Business Recorder
3 days ago
- Business
- Business Recorder
foodpanda added $1.2bn to economic activity in FY24: study
KARACHI: An independent study has revealed that foodpanda contributed a remarkable $1.2 billion to Pakistan's economic activity during the fiscal year 2023–24 (FY24), underscoring its growing role in the country's digital economy and job creation. foodpanda on Wednesday has released its comprehensive 'Economic Impact Assessment of foodpanda in Pakistan' study, independently conducted by the Lahore University of Management Sciences (LUMS). The first-of-its-kind study unveils the significant economic contributions of foodpanda to Pakistan's economy. The study, spearheaded by an accomplished team at LUMS, utilized primary and secondary data sources including input output multipliers for the local economy to establish a technical assessment of the businesses' contribution to the fabric of the economy. The study reveals a projected $1.2 Billion or PKR 335 billion contribution to Pakistan's economy in FY24, with the number continuing to increase compared to the previous 2 years. The study also finds strong multiplier effects across food, hospitality, manufacturing, transport, and retail. In FY24, foodpanda facilitated PKR 75 billion in restaurant GMV (total revenue accruing to restaurants through the platform), significantly boosting income and jobs in the sector. In the same year, the platform also contributed PKR 9.76 billion in taxes and has empowered over 50,000 riders and numerous entrepreneurs, driving financial inclusion via fintech. Commenting on the collaborative effort, Muntaqa Peracha, CEO foodpanda Pakistan said that in-depth study by LUMS is a powerful validation of foodpanda's significant role in Pakistan's economic landscape. It showcases strong multiplier effects across industries and highlights our role in directly boosting income and jobs, along with a significant tax contribution. 'The insights provided by the research are invaluable, and fuel our determination to continue innovating, expanding our services, and improving financial inclusion and social responsibility, all while building a truly prosperous digital future for Pakistan', he added. Also speaking on foodpanda's impact on the nation's economy, Dr. Kashif Z. Malik, Associate Professor, Department of Economics at LUMS, commented, 'Our research at LUMS reveals that foodpanda's impact extends far beyond just food and grocery delivery. This study highlights its fundamental role in stimulating growth across a diverse range of sectors, empowering a significant number of individuals through entrepreneurship and livelihood opportunities, and contributing substantially to the digital and financial inclusion landscape of Pakistan.' The study unequivocally demonstrates the platform's transformative impact on Pakistan's food delivery ecosystem, creating substantial opportunities for small businesses and gig workers while making a significant contribution to the national economy. Micro-level impacts include 100% income growth for 13,000+ partner restaurants, an average PKR 120,000 monthly income for 7,000+ HomeChefs (primarily women), and income increases for 57% of 50,000+ freelance riders. foodpanda is steadfast in its commitment to enabling an inclusive digital economy and continues to innovate and expand, it remains dedicated to empowering individuals, supporting businesses, and enabling sustainable growth, solidifying its position as a key contributor to the nation's prosperity. Moreover, the scale of foodpanda's investment and the resulting economic and financial inclusion highlight the immense potential within Pakistan and the strength of its evolving digital ecosystem, encouraging further investment in the sector. Copyright Business Recorder, 2025
Express Tribune
3 days ago
- Business
- Express Tribune
Policy reforms urged to aid $1.2b gig economy
Listen to article A study by the Lahore University of Management Sciences (LUMS) has called for urgent policy reforms to unlock the full potential of Pakistan's gig and digital economy, using foodpanda as a case study. The report, titled "Economic Impact Assessment of foodpanda in Pakistan", not only quantifies the platform's substantial economic contribution – estimated at $1.2 billion for 2023-2024 – but also underscores the need for a more supportive regulatory environment. The report highlights the platform's expansive role in job creation, SME enablement, and digital inclusion through its network of over 50,000 registered riders and partnerships with 13,000+ restaurants, many of which operate in the informal sector. While the findings underline foodpanda's growing influence on Pakistan's gig and digital economy, the study emphasises the urgent need for regulatory reforms to maintain and expand the impact of such platforms. LUMS recommends that the government preserve flexibility in labour laws to support gig and freelance workers who value autonomy and flexible hours. The study cautions that imposing rigid structures could reduce employment opportunities, particularly for youth and low-income groups. The report also stresses that informal food vendors should not be excluded from the digital economy, urging the government instead to collaborate with food delivery platforms to gradually formalise these businesses without disrupting their operations or incomes. Internet infrastructure was highlighted as another major concern. Since digital platforms rely on reliable and fast connectivity, service disruptions lead to order delays, customer dissatisfaction, and financial losses. The report urges the government to invest in broadband access, infrastructure upgrades, and incentives for private sector investment, especially in underserved areas. LUMS also flagged concerns over the proposed Personal Data Protection Bill. Provisions for local data storage, strict consent rules, and cross-border data restrictions could raise costs for digital platforms that use global cloud services. The report warns these rules may deter global investors and hinder scalability. The study also proposes a one-window licensing system for delivery riders. This would cover ID verification, vehicle checks, and licensing under one platform to streamline compliance, reduce administrative burdens, and enhance safety and accountability in the sector. To support the wider e-commerce ecosystem, LUMS recommends reducing import tariffs on technology and providing targeted incentives to local digital startups. The study found strong ripple effects across food, hospitality, manufacturing, transport, and retail. In FY 2023-24, foodpanda enabled Rs75 billion in restaurant revenue, created jobs, contributed Rs9.76 billion in taxes, and empowered 50,000+ riders and entrepreneurs through fintech.
Business Recorder
26-07-2025
- Business
- Business Recorder
Beyond charity: why Pakistan needs a social business movement
Sustainable development is often discussed as the future, but we rarely pause to ask: what should it actually look like for Pakistan? For decades, we've relied on charity alone to solve social problems. While charity has saved millions of lives and spread hope, yet challenges like hunger, poverty, and inequality persist. In 2007, Nobel Laureate Dr. Muhammad Yunus popularized the concept of social business, the enterprises built to solve human problems, not maximize profit, while sustaining themselves financially. The idea inspired changemakers across continents. This year, for the first time, Pakistan formally joined that global conversation. At the Social Business Day in Dhaka, hosted by the Yunus Centre, Rizq led the first-ever Pakistani delegation. We attended the dialogue as a delegation of youth-led solutions. Standing alongside innovators from over 40 countries, we proudly raised Pakistan's flag and shared our story, a living example of what social business can mean for our people. We saw models from across the globe, like community health cooperatives in Africa, renewable energy enterprises in Europe, local agriculture projects in Asia. Pakistan had never formally been part of that conversation. This year, we changed that. Not only did Rizq lead the first delegation to Dhaka, but we also organized the first local Country Forum in Lahore. Students, academics, and social innovators explored what this model could mean for Pakistan's future. How three friends sparked a nationwide movement Ten years ago, Huzaifa, Qasim, and I started Rizq as an ambitious initiative while we were still sophomores at LUMS. We would drive around Lahore with a car full of surplus food, searching for anyone who might need it. From the beginning, Rizq's approach was different. At our food banks, recovered food wasn't handed out entirely free; but rather sold at just ten rupees per kilogram. This preserved dignity and encouraged participation. Without realizing it, we were already experimenting with what would become our defining philosophy: creating sustainable systems instead of one-time charity. What started as small food recovery drives has now grown into a movement for food justice. Over the past decade, Rizq has saved millions of meals from waste, distributed them to families, supported smallholder farmers, and engaged thousands of volunteers in building a hunger-free Pakistan. But with growth came a familiar challenge: financial fragility. Rizq's work depended largely on seasonal donations and short-term campaigns. Each successful drive was followed by the same question: How do we keep this mission alive when donations slow down? Charity uplifts but it rarely scales Charity has transformed lives in Pakistan. It's part of our national identity, be it Edhi's ambulance network or microfinance revolutions led by Dr. Amjad Saqib. Pakistan remains among the most generous countries by per capita giving. But generosity alone can't replace structure. Charity is powerful but also seasonal, emotional, and inconsistent. It lifts people but doesn't always sustain the system. That's where social business comes in, not to replace charity, but to complement it. Social business looks like any other enterprise selling products, generating revenue, and running operations, but its purpose is to solve a social problem. There are no dividends; profits are reinvested to grow impact. Global examples show us what this can look like: Grameen Danone, producing affordable nutrition for children; Grameen Phone, connecting rural communities through mobile access. For Rizq, this framework crystallized when our CEO and co-founder Qasim Javaid attended the Yunus Social Business Master's Program at AIT Thailand. That experience gave us the vocabulary and perspective for what we had been doing all along: building systems of dignity, not dependence. Rizq Khana is one of the clearest examples of how our work has shifted from charity to sustainable solutions. At its core, Rizq Khana is a network of small food carts that operate to provide fresh, affordable meals every day for communities that often struggle to access quality food. Meals are prepared at our kitchens and sold at prices low enough for anyone to afford but high enough to keep the kitchen running. This simple shift, treating people as customers, not 'beneficiaries', preserves dignity and creates ownership. Each Rizq Khana cart covers its costs, pays its team, and sustains food supply without relying on seasonal donations. In many cases, the people running these carts come from the same neighborhoods they serve, fighting hunger while creating livelihoods. This is social business in practice: a system that feeds people today and stays strong enough to feed them tomorrow. Pakistan faces urgent challenges like malnutrition, climate impacts, and youth unemployment. Philanthropy alone cannot keep pace with the scale of need. But what if young, bright minds didn't have to choose between earning a living and doing good? What if they could do both? We've seen how social business can work. It allowed us to feed people with dignity, create job opportunities, and keep our work running without waiting for the next donation drive. Now, we want more people to be part of this. We're inviting universities, companies, policymakers, and organizations to join us through partnerships and incubators, and bringing this thinking into classrooms and communities. When we raised Pakistan's flag at Social Business Day in Dhaka, it felt like a small beginning. Our people have always had the heart to serve; with this model, we finally have a way to make that service last. Are we ready to lead?
Business Recorder
15-07-2025
- Business
- Business Recorder
LUMS celebrates Class of 2025
LAHORE: LUMS commemorated the achievements of its graduating Class of 2025 through a series of memorable ceremonies held over two days. Degrees were conferred upon over 1,400 graduates across the University's five schools, celebrating the excellence and hard work of both undergraduate and graduate students. They were joined by their families, friends, and faculty as they marked this major milestone. The convocation was graced by prominent members of the University's leadership, including Pro Chancellor Abdul Razak Dawood, Vice Chancellor Dr Ali Cheema, members of the Board of Trustees, Deans, and distinguished faculty members. Together, they honoured the academic accomplishments of the students and paid tribute to their perseverance and dedication. Copyright Business Recorder, 2025
Business Recorder
12-07-2025
- Business
- Business Recorder
Building digital Pakistan beyond big slogans
The story of transformation begins with a single keystroke, a child's first coding lesson, and a nation's unwavering belief in its future. South Korea's digital transformation began with massive investments in educational infrastructure. Singapore's smart nation initiative started with comprehensive teacher training. Estonia's digital society emerged from a commitment to technological innovation in schools. For decades, successive governments have treated education as an afterthought rather than the foundation of national development. The question isn't whether Pakistan can join the digital revolution or not, the more fundamental worry is whether we have the courage to reorder our priorities and invest in the minds that can lead it? While billions have been invested in the infrastructure and so called e-governance systems, the Pakistani government continued to neglect the education sector. The Digital Pakistan vision focused heavily on connectivity and digital services but failed to adequately address the fundamental challenge of preparing Pakistan's human capital for the digital age (who fundamentally are the users of this infrastructure). With over 60% of its population under the age of 30, Pakistan holds what economists call a 'demographic dividend', a youthful, dynamic workforce capable of driving prosperity. But this advantage is only meaningful if we equip our young people with the right skills, and the vision to use them. The foundation crises The transformation must begin where every great journey starts, in the classroom of a six-year-old. Pakistan's primary education system, serving over 22 million children, needs more than incremental improvements on paper, it demands a complete reimagining. The first pillar of Digital Pakistan lies in universal digital literacy. Every primary school student should have access to tablet-based learning platforms loaded with interactive content in Urdu, English, and regional languages. Countries like Rwanda have successfully implemented one-laptop-per-child programs that cost less than $200 per student annually, a fraction of what Pakistan spends on non-essential government projects. Teacher training represents the most critical investment. Every primary school teacher should receive certification in basic digital pedagogy, not as an additional burden but as an empowering tool. Master trainers from leading universities like LUMS and NUST could develop cascading training programs, creating a network of digitally fluent educators reaching every corner of Pakistan. Certainly. Here's a concise and impactful version: Digital transformation will break down geographical barriers, enabling students and educators from remote villages to access the same high-quality resources, lectures, and expertise that have long been confined to major urban centres. This democratization of knowledge can level the playing field and unlock the full potential of talent across the entire nation. Building digital citizens As students progress to secondary education, the focus shifts from digital literacy to digital fluency. Secondary schools should establish 'Innovation Labs' where students learn coding, robotics, and digital design. What is being taught at colleges should move down to school level. These labs don't require massive investments, they need strategic partnerships with leading tech companies who could sponsor equipment and provide mentorship through rotation programs serving multiple schools per district. The curriculum overhaul must be comprehensive yet practical. Computer science should be mandatory, but equally important are digital literacy modules integrated into traditional subjects. Students could create documentary films about local heritage, develop apps for identifying local flora and fauna, and publish digital magazines showcasing regional writers. Pakistan's linguistic diversity (with over 70 languages spoken) could become a competitive advantage in creating multilingual digital content. Centres of excellence and innovation – blockchain and beyond The final stage of transformation is with the Higher Education in Pakistan. Local universities must transform from knowledge consumers to knowledge creators. The country's 200+ universities vary dramatically in quality, but this diversity can become a strength through strategic resource sharing. Leading institutions like NUST, the University of Punjab and Quaid-i-Azam University should establish 'Digital Knowledge Hubs' that smaller universities can access, providing online courses, virtual laboratory access, and research collaboration platforms. The higher education curriculum needs radical and urgent updating. Engineering programs should integrate artificial intelligence and machine learning from the first year. Business schools should focus on digital entrepreneurship and e-commerce. Medical schools should incorporate telemedicine and digital health technologies. International partnerships can amplify these efforts exponentially through dual degrees, research collaborations, and faculty exchanges. Universities must take the lead in exploring and integrating cutting-edge technologies like blockchain, quantum computing, and the Internet of Things (IoT) into their academic and research agendas. Blockchain, for instance, offers transformative potential for secure digital identities, transparent public services, and tamper-proof academic credentials , innovations that can directly address many of Pakistan's governance and trust deficits. By establishing dedicated research centres and industry partnerships around these emerging technologies, universities can position Pakistan not just as a consumer, but as a creator of next-generation solutions. This academic leadership is essential to ensure the country keeps pace with global innovation and builds a future-ready economy. Economic transformation Digital Pakistan's economic impact extends far beyond education. A digitally literate workforce attracts international investment, creates high-value jobs, and develops innovative solutions to local challenges. Countries like Estonia, Singapore, and South Korea have demonstrated how educational transformation drives economic growth. The IT sector could become Pakistan's largest export industry. With improved education, the country could produce world-class software developers, digital marketers, and tech entrepreneurs. Pakistani firms could compete globally in artificial intelligence, fintech, and e-commerce. The current IT exports of $2.6 billion could grow to $25 billion within a decade with proper educational investment. Traditional industries would also benefit from digital transformation. Agriculture could adopt precision farming techniques, manufacturing could implement Industry 4.0 technologies, and services could leverage digital platforms for growth. Small businesses could access global markets through e-commerce platforms developed by Pakistani entrepreneurs. The social revolution Digital transformation has the power to weave the entire nation into a unified digital golden thread, connecting regions, communities, and individuals through shared platforms for learning, collaboration, and innovation. By breaking down geographical and social barriers, it allows students in Gilgit to access the same quality of education as those in Lahore, and entrepreneurs in Balochistan to connect with global markets just as easily as their counterparts in Karachi. Crucially, it also opens doors for women and girls, especially in conservative or underserved areas, to learn, earn, and lead from within their own homes, reducing gender inequality and empowering a new wave of social mobility. A unified, inclusive digital ecosystem doesn't just modernise Pakistan, it redefines who gets to shape its future. The path forward Beyond big slogans, the journey toward Digital Pakistan requires immediate action across multiple fronts. Infrastructure development comes first, every school needs reliable internet connectivity through expanded fiber optic networks and subsidized access. Funding mechanisms must be innovative and sustainable. The government should establish an 'Education Technology Fund' supported by taxes on digital services and international partnerships. Private companies should receive tax incentives for educational investments, while alumni networks contribute to scholarship funds and infrastructure development. Public-private partnerships can accelerate implementation. International tech companies establishing operations in Pakistan should contribute to educational development. Local companies should adopt schools and provide ongoing support. Diaspora communities should engage as mentors and funding sources. The moment of truth Pakistan possesses unique advantages that other digitally transformed nations lacked. Our large population provides scale for digital solutions. Our cultural diversity offers rich content for educational platforms. Our diaspora community provides global connections and expertise. Our young demographic ensures rapid adoption of new technologies. The timeline for digital transformation is surprisingly short. With dedicated efforts, Pakistan could achieve universal digital literacy in primary schools within five years, comprehensively digitize secondary education within seven years, and bring universities to international standards within a decade. The economic benefits would begin appearing within three years and accelerate rapidly thereafter. The roadmap is quite clear, train teachers, update curricula, and foster innovation. The resources are available through creative partnerships and international cooperation. What's missing is the political will to prioritise education over short-term gains and the social commitment to embrace change. The article does not necessarily reflect the opinion of Business Recorder or its owners
