Company: NTWK
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001641172-25-010127
Chunk: 159

Company: NETSOL TECHNOLOGIES INC
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 2
Chunk 159
---
65 billion from the originally planned $46
    billion, in Pakistan’s energy and infrastructure sectors. In June 2024, China authorized a new $2.3 billion loan at a discounted
    rate to Pakistan as a short-term loan.

    ●
    
    The
    overall size of the mobility market in Europe and the United States is projected to increase over $425 billion combined, by 2035
    or a compound CAGR of 5% from 2022. (Deloitte Global Automotive Mobility Market Simulation Tool)

    ●
    
    The
    global automotive finance market accounted for $245 billion in 2022 and is expected to more than double by 2035 at a CAGR of 7.4%
    according to Precedence Research.

Page 38

Negative
trends:

    ●
    
    The
    conflict in Gaza has disrupted the entire Middle East region since October 7, 2023. The conflict has expanded to neighboring nations
    such as Syria, Lebanon and Iran. The unrest and turmoil in the region is viewed unfavorably by the regional business community.

    ●
    
    General
    economic conditions in our geographic markets; inflation, geopolitical tensions, including trade wars, tariffs and/or sanctions in
    geographic areas; and global conflicts or disasters that impact the global economy or one or more sectors of the global economy.

    ●
    The
    imposition of tariffs on China and threatened tariffs on other US trading partners may affect the price of consumer goods including
    vehicles amongst others, negatively affecting the profitability of many of our customers.

    ●
    
    Political,
    monetary, and economic challenges and a higher inflation rate than other regional countries impacting Pakistan exports.

    ●
    
    Inflation
    and higher interest rates globally have greatly increased the cost of doing business, including salaries and benefits worldwide,
    affecting profitability.

    ●
    War
    and hostility between Russia and Ukraine continue to foster global economic uncertainty.

    ●
    The
    geo-political environment in South Asia will continue to influence Pakistan’s economic prospects. Pakistan’s political
    uncertainty has caused higher inflation with constant pressure on its currency being devalued against the US Dollar. According to
    a report issued by the World Bank, while marginal economic growth is expected in Pakistan, implementing an ambitious and credibly
    communicated economic reform plan is critical for a robust economic recovery. There is no guarantee that such reforms will be implemented.
    See Press Release