The improvement in the ranking shows a thriving culture of entrepreneurs establishing businesses on a startup model despite challenges related to the COVID-19 pandemic, regulatory complications, and paucity of funds.
According to the ECO Cultural Institute, most ranked Pakistani cities improved their positions in 2021, and two new entrants joined the rankings, showing that innovation is spreading in the country.
Pakistan is in an unusual situation. Two of its top cities are very closely ranked, although this year, the gap between them has increased. The highest-ranked city in Pakistan, Lahore, moved 14 spots to 257th globally and 4th in South Asia.
The 2nd ranked city, Karachi, experienced a fall of 7 spots to 286th globally and ranked 8th in South Asia. The 3rd highest city, Islamabad, saw the most significant increase in rank, jumping 122 spots and into the global top 500 at 437th, as well as 15th in South Asia.