Chinese firms discuss investment in IoT solutions in Pakistan
Chinese tech companies are taking increasing interest in the underdeveloped information technology sector of Pakistan as they are about to launch financial, transportation, and Internet-ofThings (IoT) solutions in the country to take first-mover advantage, sources said yesterday.
“At least two Chinese companies are at various levels of discussion with the government and contacting local potential partners, and soon investment will start pouring in the sector,” an industry official said, requesting anonymity.
Hangzhou-based Jumore Holdings Group, a large conglomerate combining supply chain service, financial service and e-commerce, is willing to enter Pakistan’s market with a financial solution platform to help companies collect capital from their clients.
“Such a platform would facilitate two countries’ companies working together on a large number of projects in various sectors,” the official added.
Pakistan has no online payment gateway so far.
Avanza Group and Premier Systems signed an agreement in August this year to formally establish Avanza Premier Payment Services, the country’s first domestic online payment gateway, which would spur innovation in the domestic market by encouraging the community to pay online and make digital pay- ments easier and widely available for banking customers.
Earlier this year, Ant Financial Services Group, an affiliate of Chinese e-commerce giant Alibaba, agreed to acquire 45% stake worth around Rs20bn in a subsidiary of Norwegian telco Telenor to broaden access to financial services through digital payment solutions.
Ecommerce players see the entry of a global leading online and mobile payment platform as a good omen for the market where 90% of online orders of Rs9.8bn were still fulfilled using cash-ondelivery in the past fiscal year.
Notwithstanding, e-commerce growth record is considerable.
Consumers carried out 0.8mn of e-commerce transactions worth Rs4.8bn in the first quarter of 2018, up 100.6% in volume and 50.5% in value over the previous year.
Beijing-based Megvii Technology is also seeking entry into Pakistani market to develop apps and other software for transportation departments.
One of its technologies could recognise vehicles’ number plates.
Megvii Technology is an industrial Internet of Things solution provider.
Megvii Technology platform is being used by many popular brands like Alipay, mobile photo editing app provider Meitu, ridehailing service Didi Chuxing, computer maker Lenovo Group, smartphone supplier Xiaomi, China Merchants Bank and China Citic Bank.