Telecom operators have called on the government to adopt the same reform-driven approach used in the privatisation of Pakistan International Airlines (PIA) for the upcoming spectrum auction, saying pragmatic policy design is critical for expanding digital connectivity and supporting economic growth.
Industry representatives said the PIA transaction showed that when policy aligns with market realities and long-term national priorities, outcomes improve and investor confidence strengthens. They argued that spectrum policy should follow a similar path.
Telecom operators said demand for mobile data has surged while spectrum availability remains limited, with only 274 MHz currently allocated nationwide. This mismatch, they said, has led to slower speeds, weaker service quality and constrained innovation across households, businesses and public services.
Aamir Ibrahim, chief executive officer of Jazz, said the upcoming auction must reflect the sector’s economic realities. He said operators earn revenues in Pakistani rupees, and spectrum pricing and payment structures should also be rupee-denominated to reduce financial pressure and enable faster network expansion.
Industry data shows that freelancers contributed about $400 million in remittances between July 2024 and March 2025, yet remain affected by unreliable internet connectivity. Telecom operators also highlighted that nearly two-fifths of adults remain financially excluded, while the sector operates with an average revenue per user of around $1, limiting reinvestment capacity.
The government’s decision to release more than 600 MHz of additional spectrum was described by the industry as a key reform step, supporting national digital goals and emerging technologies such as artificial intelligence and the Internet of Things.
Operators cautioned that spectrum auctions relying on high upfront payments and dollar-based pricing could divert capital away from network rollout, rural coverage and service quality. They cited analysis by GSMA estimating that a two-year delay in new spectrum could cost Pakistan $1.8 billion in GDP, rising to over $4.3 billion with a five-year delay.
The industry proposed conservative reserve prices, local-currency auctions and instalment-based payments, along with clearer timelines for future spectrum releases. Operators also suggested linking auction proceeds to national objectives, including directing a portion towards the Universal Service Fund to support coverage expansion and next-generation networks.
Telecom executives said clear policy direction and rollout obligations focused on coverage, affordability and service quality would help turn spectrum into a long-term economic asset rather than a one-off revenue source, supporting digital jobs, exports and broader economic participation.
