ISLAMABAD (INP): E-commerce industry holds promising future for Pakistan, says a report published by WealthPK on Saturday.
The report says, the Universal Network Systems Limited (UNSL), Pakistan’s premier e-commerce logistics company, has recently become the first tech-logistics firm to make it to the list of Growth Enterprise Market (GEM) Board of the Pakistan Stock Exchange (PSX).
Following the listing, the firm has attracted equity finance worth Rs750.62 million against the target of Rs445.7 million in an initial public offering on the PSX.
The profit of the company’s shareholders will go into their respective accounts through the central depository company (CDC), WealthPK reported.
The company has issued 6,857,000 ordinary shares at a fixed price of Rs65 per share to accredited investors as per applicable rules of the GEM Board, thus enabling it to raise over Rs445 million.
This development shows positive trends in the investor confidence and e-commerce ecosystem in Pakistan.
Topline Securities Limited and Arif Habib Limited, the joint advisers on the issue, have been authorised by UNSL to provide information memorandum to accredited investors.
According to the company’s officials, the firm will ensure swift delivery of goods and services to customers even in far-off areas at competitive rates.
Another e-commerce firm, Airlift, which offers a quick service in eight major cities of Pakistan, raised $85 million in August 2021, taking its total business volume to $275 million in that year.
E-commerce trade done through road, air and sea in 2019 contributed 22.3% of GDP, providing approximately 6% of the total employment in the period, WealthPK reported. In 2019, Pakistan was the 46th largest market for e-commerce with a revenue of $2 billion. With an increase of 101%, the Pakistani e-commerce market largely contributed to the worldwide growth rate of 17% in 2019.
Revenues for e-commerce continue to increase as new markets are emerging and the existing ones are expanding their operations.
E-commerce has picked up momentum during the Covid-19 pandemic, largely propelled by Middle East and Southeast Asian regions, where the middle class tends to use online platforms to purchase products and services.
The Pakistan Vision 2025 and the Digital Pakistan Policy set the target that the e-commerce industry’s size will reach $20 billion by 2025. During the year 2020, 296.7 million e-banking transactions were carried out in the country, with a total value of around Rs21.4 trillion, showing an increase of 22%.
During the period, the volume of mobile banking transactions reached Rs44 million. The e-commerce industry has also spurred the development of technology segment and the expansion of outreach network as well as provided e-commerce solutions.
With more and more platforms coming in, the e-commerce industry holds a promising future.
The post E-commerce industry holds<br>promising future for Pakistan appeared first on The Frontier Post.