The Pakistan Telecommunication Authority (PTA) faces significant hurdles that could delay the country’s planned 5G technology launch next year, according to foreign consultants. The National Economic Research Associates (NERA), a US-backed consultancy, shared these findings during consultations with industry stakeholders.
In a briefing attended by Finance Minister Muhammad Aurangzeb, Industries Minister Rana Tanveer Hussain, and State IT Minister Shaza Fatima Khawaja, NERA outlined key policy, business, and administrative challenges. These include administrative restrictions on internet services, inefficient use of existing spectrum, and a preference for conducting spectrum auctions in foreign currency instead of Pakistani rupees.
NERA cautioned that these issues could hamper competition, lower financial bids, and reduce investment in 5G deployment. The report also highlighted Pakistan’s reliance on foreign exchange-based spectrum auctions—a practice many countries have abandoned—warning that it might deter bidders and limit participation.
Some telecom companies have expressed reservations about the auction, citing economic pressures and regulatory barriers. The country also struggles to maximize its 4G potential, with telecom operators criticizing restrictive regulations as a growth impediment.
NERA’s findings emphasize the need for relaxed regulatory measures, particularly regarding internet traffic management and content controls, to ensure a smooth 5G rollout. The final report will provide further recommendations to support Pakistan’s digital economy aspirations.
