Pakistan is a predominantly cash economy, where many people are not comfortable making payments via credit cards which makes bitcoin extremely relevant there.this will definitely be proved as an improved way of transacting
This is not the right reason, but it will work.
People use cash to avoid paying taxes (direct as well as indirect). The authorities won't like it if Bitcoin is used for the same reasons.
That is not true.
In my country people pay a shitload of taxes and use cash mostly.
Cash means freedom, privacy and is simple and quick to use.