Islamabad, September 9, 2025 – Pakistan’s telecom operators, backed by the Global System for Mobile Communications Association (GSMA), have submitted a set of sweeping demands to the government ahead of the country’s long-awaited 5G spectrum auction.
The industry is pressing for a lower reserve price than past auctions, rupee-denominated pricing to offset currency fluctuation risks, 15-year interest-free payment plans, and duty-free imports of 5G equipment and smartphones. They also proposed payment terms spread over the 20-year license period and even a five-year moratorium on payments to ease financial strain.
However, the Spectrum Advisory Committee, chaired by Federal Finance Minister Muhammad Aurangzeb, gave no immediate assurances, leaving operators uncertain about the auction’s framework.
Both GSMA and the Telecom Operators Association of Pakistan warned that further delays in spectrum release could cost the country between $1.8 billion and $4.3 billion in lost economic benefits over the next five years. They flagged several barriers, including unresolved merger decisions, the absence of a clear spectrum roadmap, and ongoing disputes over the 2600 MHz band, which is currently claimed by Sun TV.
Industry representatives stressed that spectrum costs in Pakistan are already among the highest in the world, consuming nearly 20% of operators’ revenues. They called for a balanced pricing approach, rollout obligations tailored to local challenges such as security issues in FATA and Balochistan, and consideration of flood-related infrastructure damages.
Their recommendations also included deducting license obligation costs from spectrum fees and adopting investor-friendly policies to ensure sustainable 5G rollout and broader digital adoption.
The government’s response remains pending, with stakeholders urging swift action to unlock the economic potential of 5G while ensuring financial viability for operators.
