ISLAMABAD: Pakistan’s telecom sector continued to show robust performance during the first nine months of fiscal year 2024-25 (July–March), with total revenues reaching Rs 803 billion. However, the sector’s contribution to the national exchequer declined to Rs271 billion during the same period, the Economic Survey 2024-25 revealed.
While telecom revenues remained strong—up from Rs 644 billion in FY2020-21 to Rs803 billion in the current fiscal year so far—the sector’s tax and duty contribution dropped from a high of Rs 341 billion in FY2022-23 to Rs 271 billion during July–March FY2025.
Experts attribute the drop to potential shifts in policy measures, reduced tax collection windows due to the data covering only nine months, or changing dynamics in sector profitability. Despite the decline, the telecom sector remains a vital contributor to the economy.
Telecom investment also saw a dip, registering USD 621 million in FY2024-25 (July–March), compared to USD 770 million in the previous year and USD 1,657 million in FY2021-22.
Despite these financial shifts, the Pakistan Telecommunication Authority (PTA) reported steady expansion in digital infrastructure. Broadband penetration rose to 59.8%, with 4G coverage reaching over 81% of the population. Total broadband subscribers hit 147.2 million by March 2025.
The PTA’s regulatory reforms, digital inclusion strategies, and initiatives like unlocking the 6 GHz spectrum for next-generation Wi-Fi have positioned Pakistan as the 10th Asian country to adopt Wi-Fi 6E and beyond.
Additionally, Pakistan’s rank in the Global Cybersecurity Index 2024 improved significantly—from 79th to among the top 40, reflecting progress in digital security and infrastructure resilience.
The survey further noted the launch of national roaming along the Makran Coastal Highway, a move aimed at addressing coverage blackspots and improving emergency communication. To improve the regulatory environment, PTA also launched OASIS, a digital licensing system integrating services from NADRA, SECP, and NBP, revealed the survey.
The country is preparing for a 5G rollout by mid-2025, with infrastructure upgrades, spectrum planning, and operator trials already underway, the survey mentioned. Following the approval of the National Space Policy, the development of a licensing framework for satellite broadband services is also in progress.
The Economic Survey also noted ongoing work on a National Fiberisation Plan, developed in collaboration with the World Bank, to expand the country’s fiber-optic backbone. Meanwhile, efforts to ensure digital safety have intensified, with PTA blocking over 1.43 million URLs related to unlawful content. Additionally, more than 400,000 quality-of-service tests were conducted to monitor and enforce telecom performance standards nationwide.
Copyright Business Recorder, 2025