Hatem Bamatraf, the President and Group CEO of Pakistan Telecommunication Company Limited (PTCL), has outlined key prerequisites for PTCL’s participation in the upcoming 5G spectrum auction, scheduled for May 2025. These prerequisites include extended payment terms, a reasonable reserve price, and the shift to a rupee-based pricing model for the auction.
Speaking to Business Recorder, Bamatraf emphasized that PTCL would only participate if the auction’s terms align with the company’s business interests. He stressed that PTCL aims to be at the forefront of technological innovation and is ready to adopt new technologies as long as it makes a solid business case.
While the official terms and conditions of the auction are still under discussion, PTCL has conveyed its concerns to the Ministry of Information Technology, government stakeholders, and the National Economic Research Associates Inc (NERA), the international consultancy firm hired for the auction. The CEO believes that favorable terms could make the auction a success and help digitalize Pakistan, unlocking opportunities for both industries and individuals.
The NERA has also supported telecom operators’ demands for a reasonable reserve price, extended payment terms, and a rupee-based price structure. The consultancy firm warned that high spectrum prices could lead to fewer market players, reduced competition, and lower innovation, ultimately harming consumers. Additionally, it argued that lower spectrum prices could increase long-term government revenue, despite potential short-term concerns.
Bamatraf also pointed out the impact of currency devaluation, as the cost of spectrum has risen dramatically due to the rupee’s depreciation against the US dollar, making it more expensive for operators compared to previous auctions.
