Pakistan Moves Closer to 5G Spectrum Auction
Pakistan’s long-awaited journey toward fifth-generation mobile services has taken a decisive step forward. The Pakistan Telecommunication Authority (PTA) has finalized the Information Memorandum (IM) for the upcoming 5G spectrum auction, according to sources familiar with the development.
The document is expected to be issued shortly after formal approval by the authority, effectively setting the stage for the launch of the auction process. Officials see this as a crucial procedural milestone following the federal government’s recently issued policy directive for next-generation mobile spectrum.
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Once released, the IM will formally kick-start the regulatory and commercial roadmap for 5G services across Pakistan, a development closely watched by telecom operators, investors, and millions of mobile users nationwide.
What the Information Memorandum Covers
Sources within the regulator told Reeo News that the finalized Information Memorandum lays out the full legal and regulatory framework for the auction. It clearly defines PTA’s mandate under the federal government’s policy directive and outlines the objectives behind introducing 5G technology in the country.
The IM provides a detailed overview of market conditions, spectrum availability, and the broader policy goals tied to digital transformation. These include improving mobile connectivity, supporting data-driven services, and contributing to long-term economic growth.
According to officials, the document also highlights how next-generation networks are expected to play a role in smart cities, e-commerce, fintech, telemedicine, and industrial automation—sectors seen as vital to Pakistan’s digital future.
Spectrum Bands, Technology, and Competition Rules
A key section of the Information Memorandum focuses on the technical and auction-related details. This includes the specific spectrum bands and blocks to be offered, covering low-, mid-, and high-frequency ranges.
The spectrum will be auctioned on a technology-neutral basis. This means successful bidders will have the flexibility to deploy 5G or other advanced mobile technologies under the existing regulatory regime, without being locked into a single standard.
To ensure fair competition, the IM also introduces spectrum caps. These limits are designed to prevent excessive concentration of spectrum in the hands of a single operator, a concern that has shaped telecom auctions globally.
Auction Design and Who Can Participate
Sources said the IM explains the auction design and methodology in detail. It outlines the bidding rules, timelines, eligibility criteria, and participation conditions for all stakeholders.
Both existing cellular mobile operators and potential new entrants will be allowed to participate, provided they meet the regulatory and financial requirements. PTA officials say the auction framework has been aligned with international best practices to ensure transparency and competitiveness.
Industry analysts believe this approach could encourage broader participation and help attract new investment into Pakistan’s telecom sector, which has struggled in recent years due to high taxes, currency volatility, and limited spectrum availability.
Financial Terms and Licensing Conditions
The Information Memorandum also spells out the financial obligations for successful bidders. These include base prices, payment mechanisms, and licensing terms.
One of the most welcomed aspects of the government’s policy directive—reflected in the IM—is the decision to lock the dollar conversion rate on the day of the auction. Telecom operators had repeatedly raised concerns about exchange rate volatility, which significantly increases long-term costs.
The licenses will be issued for a 15-year tenure, offering operators greater certainty for network investment and rollout planning. The IM also addresses rollout obligations and quality-of-service requirements, though operators continue to seek flexibility in these areas.
Government and Industry on the Same Page
Following the issuance of the policy directive, chief executive officers of all cellular mobile operators met with Federal Minister for IT and Telecommunication Shaza Fatima Khawaja.
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During the meeting, operators thanked the government for accommodating key industry demands, particularly on pricing structure and dollar rate fixation. They assured the minister of their participation in the 5G spectrum auction, signaling renewed confidence in the process.
However, industry representatives also expressed hope that outstanding concerns related to strict rollout timelines and service quality benchmarks would be addressed in a practical manner.
Tackling Pakistan’s Spectrum Shortage
Speaking during the meeting, Minister Shaza Fatima Khawaja described Pakistan as the “most spectrum-starved country” in the region. She emphasized that the planned auction of around 600 MHz of spectrum could significantly ease network congestion.
Additional spectrum, she said, is essential for improving user experience, expanding mobile broadband capacity, and supporting future data growth as smartphone usage and digital services continue to rise across the country.
For everyday users in cities like Islamabad, Lahore, and Karachi, this could eventually translate into faster speeds, fewer dropped calls, and more reliable mobile internet—though experts caution that real-world benefits will depend on effective rollout and investment.
What Comes Next
The federal government issued the 5G policy directive earlier this week, making multiple frequency bands available under a transparent and competitive framework. Key features include technology-neutral usage, fixed base prices, flexible payment options, and long-term licensing.
According to sources, the 5G spectrum auction will be conducted after PTA formally issues the Information Memorandum and completes the remaining regulatory steps.
For Pakistan’s telecom sector, the release of the IM marks more than just paperwork. It signals that, after years of delays, the country is finally moving closer to joining the global 5G race.
