9pm Shop Closure Cuts Retail Sales by 42% in Pakistan

Pakistan’s 9pm shop closure rule has cut daily transactions at retail outlets by 42%, a new Ipsos study says. Evidence that it saved energy remains thin. The study was reported by The Express Tribune.

The study, presented by the Chainstore Association of Pakistan, covered 300 retailers and 1,046 consumers across 53 malls and markets in 10 cities. Fieldwork ran in August and September 2026.

What the 9pm shop closure cost retailers

Shops where the 9pm rule applies now open 1.6 hours less each day, with average hours down from 11.2 to 9.6. Across the top 10 product categories, transactions per shop fell from 86 to 50 a day, with footwear down from 85 to 38.

Retailers judge their own trade far worse now. The share rating sales as good fell from 79% to 34%, and those reporting high profitability dropped from 67% to 26%. Heavy evening footfall between 4pm and 8pm halved, from 63% to 32%.

A head of e-commerce at a footwear and apparel brand said 40% to 50% of a day’s footfall comes between 7pm and 9pm.

Little proof the rule saved energy

The study found only weak evidence the rule achieved its purpose. While 56% of retailers said the energy goal was met, only 41% saw their own utility bills fall. In Punjab, Islamabad and Balochistan, where the rule still applies, the figure was just 31%.

Even retailers who believe the rule saved energy saw transactions fall from 108 to 50 a day.

Shops have adjusted: 73% open earlier, 34% have started or expanded online sales, and 12% have cut staff. But a footwear executive warned against assuming evening customers simply moved online.

Traders and shoppers want a rethink

Half of the 300 retailers oppose the rule, and 32% support it. Opposition rises to 54% among owners, who set trading hours. Even among those who believed the energy goals were met, only one in five wanted the rule unchanged. Another 57% wanted the timings changed, and 21% wanted it removed.

Traders also criticised how the policy was made: 10 of the 25 key informants said traders were not consulted. “Until you take traders into confidence and develop policies in consultation with them, the situation will not improve,” said the president of a market traders’ association.

A senior executive at a national apparel chain said adjusting takes four to six weeks, and “by the time we adjust, they change it again”. Ten informants called enforcement uneven or heavy-handed. Seven suggested closing at 10pm to 11pm, and five proposed targeting energy directly, through solar power, electric vehicles and cutting power leakage.

Consumers are divided: 35% support early closing, 33% are neutral and 32% oppose it. But 37% said their shopping experience worsened, against 23% who said it improved. And 53% said finding time to shop has become harder, while only 15% found it easier.

How shopping habits have shifted

Shoppers preferring after 8pm fell from 9% to 4%, and monthly trips dropped from 9.4 to 8.7. Women cut back far more than men, from 7.2 to 5.8 trips, a fall of 19% against 3% for men.

Neighbourhood shops gained ground, rising from 27% to 31% as the most used format. Malls slipped from 8% to 6%.

The study compared 15 countries. Only Bangladesh, which has changed its closing time seven times since April, shuts shops early to save energy. Brazil, the Philippines, Indonesia, France and Dubai cut power use through quotas, peak-hour tariffs and efficiency plans instead.

Pressure builds for a review

Business has already responded. The Federation of Pakistan Chambers of Commerce and Industry has urged the government to review the policy. UrduPoint reported the call on Tuesday evening, citing the same survey.

The Chainstore Association warned in September that restricted hours suppressed an estimated Rs45-75 billion in documented retail activity each week. It said the curbs could cost up to Rs10 billion weekly in unpaid taxes, Profit reported. It had already called in June for a uniform 10pm closing time. The association argued the 9pm limit put organised retail at a disadvantage against grocery stores and restaurants allowed to trade later.

The closures have been in force since April 7, 2026. Sindh and Khyber-Pakhtunkhwa lifted the rule on May 16, leaving it in Punjab, Islamabad and Balochistan. Market closing hours have already been revised once this year, and an earlier order set closing at 8:30pm.

Falling sales reach beyond the shops. The government is weighing tax relief for 1.2m traders, and any fall in documented sales hits tax collection. Salaried taxpayers paid Rs193bn while real estate paid Rs42bn, showing how narrow the tax base is. Lower retail activity also means fewer orders for manufacturers that feed the retail chain.

Frequently asked questions

How much have retail sales fallen under the 9pm closing rule?

Daily transactions at retail outlets fell by 42% on average, according to the Ipsos study. Across the top 10 product categories, transactions per shop dropped from 86 to 50 a day.

Did the early closing rule save energy?

The evidence is thin. While 56% of retailers said the goal was achieved, only 41% saw their own utility bills fall. In Punjab, Islamabad and Balochistan, where the rule is still in force, only 31% saw lower bills.

Where does the 9pm rule still apply?

The rule is still in force in Punjab, Islamabad and Balochistan. Sindh and Khyber-Pakhtunkhwa lifted it on May 16, 2026.

What do retailers want instead?

Half of the retailers surveyed oppose the rule. Among those who believed the energy goals were met, 57% wanted the timings changed and 21% wanted the rule removed. Seven of the key informants suggested closing at 10pm to 11pm.

How have shoppers been affected?

Some 53% of consumers said finding time to shop has become harder, and 37% said their shopping experience worsened. Women cut their monthly shopping trips by 19%, from 7.2 to 5.8.