GSMA Says Lower Telecom Taxes Could Support Pakistan’s 5G Rollout
Pakistan’s transition to 5G technology could face challenges if the telecom sector continues to operate under a high tax burden, according to the GSMA in its newly released Digital Pakistan 2030 report.
The organization said that while Pakistan has made notable progress in digital connectivity and mobile internet adoption, policies that encourage investment will be important for the successful rollout of next-generation mobile networks.
Investment Environment Improving
Speaking at the launch of the report, GSMA Head of Asia Pacific Julian Gorman said reforms in spectrum management have helped improve the investment climate for telecom operators.
However, he noted that higher taxes and regulatory costs may reduce incentives for companies to invest in expanding network infrastructure, including future 5G services.
Telecom Sector’s Economic Contribution
According to the report, Pakistan’s telecom industry contributed approximately Rs. 278 billion in taxes and regulatory fees during 2025, highlighting the sector’s significant role in the national economy.
The report also emphasized the importance of maintaining a balanced regulatory framework to support continued growth and technological advancement.
Digital Inclusion Shows Progress
GSMA highlighted positive developments in digital inclusion across Pakistan.
According to the report:
- Mobile internet usage among women increased from 45% to 53%.
- The mobile internet gender gap narrowed from 25% to 8%.
The organization described these improvements as encouraging signs of broader digital access and participation.
Cybersecurity and Data Governance
The report also identified cybersecurity and data governance as key priorities for Pakistan’s digital future.
GSMA said strengthening these areas will help build trust in digital services and support sustainable growth across the country’s digital economy.
Senate Committee Reviews Telecom Issues
Separately, the Senate Standing Committee on Cabinet Secretariat discussed the issue of Right of Way (RoW) for telecom companies, which affects the installation and expansion of telecommunications infrastructure.
During the meeting, committee members discussed the need for further briefings on the matter. The committee directed that the Federal Minister for Information Technology and the IT Secretary attend the next meeting to provide updates on ongoing telecom infrastructure and policy issues.
Industry observers say that continued policy reforms, investment-friendly regulations, and infrastructure development will play an important role in expanding digital connectivity and supporting Pakistan’s future 5G ambitions.
