Pakistan plans to auction 5G spectrum next month as the government moves to fix long-standing internet performance issues, IT Minister Shaza Fatima Khawaja said during a press conference on the telecom sector. She linked slow internet speeds mainly to limited spectrum and outlined several policy steps aimed at boosting connectivity, competition, and investment.
The minister said Pakistan’s IT export figures for November showed positive growth. She added that internet-related issues stayed relatively limited last year compared to previous years. During Muharram-ul-Haram, internet restrictions were applied only in specific locations due to security needs.
According to Shaza Fatima Khawaja, the core problem behind slow internet speeds is spectrum scarcity. Pakistan currently operates on 274 megahertz of spectrum, the lowest level in the region. Last year, authorities cleared 606 megahertz of spectrum, while the cabinet has approved an additional 600 megahertz. The 5G spectrum auction is now scheduled for next month.
She said improved spectrum availability will enable the launch of 5G services and significantly enhance 4G performance. The spectrum process moved ahead with the backing of the Prime Minister and the Finance Minister. The Pakistan Telecommunication Authority has completed groundwork for the 5G rollout. An independent report prepared by the PTA’s consultant has also received approval.
The upcoming auction will cover seven spectrum bands. Five of these bands will be auctioned in Pakistan for the first time. The remaining two bands have already been auctioned in the local market.
Shaza Fatima Khawaja acknowledged that the number of 5G-enabled smartphones in Pakistan remains low. To address this, the government has decided to introduce a mobile phone leasing policy. The policy aims to offer 5G phones through affordable installment plans. Stakeholders are currently being consulted on its final structure.
The cabinet has also approved the MVNO policy. Pakistan presently has three mobile network operators. The entry of MVNOs is expected to bring additional players into the market. This move should increase competition and attract foreign direct investment. The global MVNO market is valued at 94 billion dollars and is projected to reach 174 billion dollars by 2032. Pakistan aims to secure a share of this expanding market.
The PTA has issued CVAS licenses at the district level to support local connectivity. These licenses are expected to increase fiberization and extend internet services to remote and underserved areas. The government has also abolished right-of-way charges. This step is expected to drive a major improvement in service quality.
Shaza Fatima Khawaja said users should see noticeable service improvements within three to four months after the auction. The rollout of 5G in major cities is expected within six to seven months. Over the past one and a half years, three submarine cables have landed in Pakistan, which should significantly strengthen national internet connectivity.
She also highlighted progress in local mobile manufacturing. A total of 31 million mobile phones have been assembled in Pakistan. Around 95 percent of mobile phones used in the country are produced locally. Except for one or two brands, nearly all manufacturers are now assembling devices in Pakistan. These locally produced phones will be offered under the mobile leasing policy to improve affordability.
The minister said the cabinet has approved the 5G spectrum auction, although official minutes are still awaited. The information memorandum will be issued within the next two to three days.
Addressing recent connectivity disruptions, Shaza Fatima Khawaja said the main internet cable cut occurred in Jeddah. She added that no faults were reported in Pakistan’s internet cables during the past year. Internet shutdowns last year were imposed due to terrorism-related security concerns, she said.