ISLAMABAD: Pakistan stands to lose $4.3 billion in potential economic benefits over the next five years if the auction of spectrum is delayed any further, the GSMA has cautioned. The warning was issued in a detailed report, “Building Digital Pakistan through Effective Spectrum Policy,” which was presented to the Spectrum Auction Committee at a high-level meeting chaired by Finance Minister Senator Muhammad Aurangzeb on Monday.
According to the global telecom body, Pakistan’s mobile sector is already under severe strain, with spectrum costs consuming nearly 20 percent of operators’ revenues among the highest in the world. The report said that insufficient spectrum means mobile services are becoming less affordable, less productive, and unable to meet the growing digital demands of the economy.
The meeting brought together government ministers, senior officials, and leading telecom operators. Telecom Operators Association (TOA) Chairman and CEO of Jazz, Amir Ibrahim, led the industry delegation along with representatives of other telecom companies. From the global side, Julian Gorman, GSMA’s Head of Asia-Pacific, stressed that Pakistan’s spectrum policy suffers from high reserve prices and regulatory hurdles that discourage investment and undermine digital growth.
Julian Gorman, Head of Asia Pacific at the Global System for Mobile Communications (GSMA), said that Pakistan will not be able to meet its target of increasing information technology-based exports to $25 billion within five years if the spectrum auction is delayed by another two years. He urged the government to remove legal obstacles hindering the process.
Despite raising repeated concerns over pricing and auction delays, the telecom industry failed to present a credible alternate “Plan B” to the government that could ensure the timely availability of spectrum. Officials noted that this gap has become more critical as the much-awaited PTCL–Telenor Pakistan merger continues to hold up the auction process.
Government representatives, including Federal Ministers Shaza Fatima Khawaja and Senator Azam Nazeer Tarar, reaffirmed the administration’s commitment to a digitally connected Pakistan with inclusive, affordable, and high-quality connectivity. They highlighted that legal bottlenecks holding up portions of spectrum in litigation were being resolved and that structural reforms were under consideration.
The GSMA report underscored that the upcoming spectrum auction could prove decisive in supporting Pakistan’s ambition of building a strong digital economy. It recommended a “balanced approach” that not only sets realistic pricing but also addresses outstanding legal, regulatory, and fiscal challenges. Furthermore, it called for a clear long-term roadmap for spectrum allocation to reduce uncertainty for mobile operators.
“Without these reforms, Pakistan’s mobile industry will continue to struggle in expanding coverage and providing affordable, high-speed internet,” the report warned, adding that delays could slow down the government’s broader digitalisation agenda.
Participants from the telecom industry and GSMA concluded that spectrum policy must be urgently revisited if Pakistan is to avoid economic losses, expand mobile connectivity, and position itself competitively in the global digital economy.
Telecom representatives later told the media that they had verbally asked the government to follow the models of Saudi Arabia, Vietnam, and Indonesia, where spectrum was priced at just around 10 percent of its previous auction value, allowing operators to expand services more rapidly.
“Spectrum is the invisible infrastructure behind every call, every payment, every online classroom. To unlock Pakistan’s digital future — in line with the Prime Minister’s vision — we need a pricing and policy framework that encourages investment, not hesitation. With the right reforms, we can deliver faster networks, stronger exports, and meaningful digital inclusion for millions,” said Aamir Ibrahim, CEO Jazz.
They also pointed out that India successfully overcame litigation issues through government interventions and argued that Pakistan should replicate that approach to unlock stalled frequencies.
