Does Pakistan need a super app?
For technology companies, the super app is the holy grail: one application that becomes the starting point for a consumer’s digital life. Messaging brings people in every day. Payments, shopping, transport, financial services, and finally government services keep them there. Few companies in the world have managed to make this work at scale. WeChat is the obvious example. It began with messaging…
In the pursuit of a super app, Pakistan could benefit from a digital ecosystem already established. Nadra provides identity services, Easypaisa and JazzCash handle banking, Daraz dominates e-commerce, and Pak ID manages government applications. Although a super app was attempted in 2017, Veon's initiative failed after spending $100 million. Despite the resources at Veon's disposal, the app struggled to replace the existing messaging platform, WhatsApp.
For a super app to succeed, it must first offer users a compelling reason to engage daily. Telegram, another messaging platform, has also encountered difficulties expanding its ecosystem beyond messaging. The main challenge lies in convincing users to abandon their current messaging services, such as WhatsApp, which has become ingrained in their daily lives.
Furthermore, a government-owned super app raises concerns about trust and surveillance. Concentrating sensitive national information within one application could create significant risks. In contrast, a privately owned super app could lead to an accumulation of economic power and personal data, controlled by a single company.
To address these issues, Pakistan should adopt a public-private model. The government should develop and govern the foundational elements: digital identity, payments, public-service APIs, and data-sharing standards. Meanwhile, private companies can compete to develop applications and customer experiences on top of these infrastructure components.
By establishing a robust infrastructure, Pakistan can enjoy the convenience of a single app providing messaging, social media, payments, government services, and data storage within its jurisdiction. Moreover, a super app could enable instant credit scoring based on the available user data. This tool could significantly boost financial inclusion in the country.
However, the success of a super app hinges on the collaboration between the government and private sector. By sharing the responsibilities and ensuring clear safeguards, Pakistan can harness the potential of a super app while minimizing the risks associated with a single-company domination.
Written by urgent.news from Dawn Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
