Telecom sector looks for strategic proposals

Pakistan's telecom industry is awaiting strategic recommendations from the National Economic Research Associates, Inc (NERA), a consultancy firm hired by Pakistan Telecommunication Authority (PTA).

NERA is tasked with crafting a comprehensive framework for the allocation of 5G spectrum, seen as pivotal for driving innovation and overcoming industry challenges.

PTA's collaboration with NERA highlights the commitment to drawing up a 5G roadmap that integrates global benchmarks while addressing specific needs of Pakistan's telecom ecosystem. At the heart of this initiative is NERA's evaluation of the sector's economic viability, aimed at attracting investment and ensuring successful spectrum auctions.

The policy framework is expected to serve as a cornerstone for transforming Pakistan's digital infrastructure, bridging connectivity gaps and paving the way for sustainable growth in telecommunications.

NERA has been engaged in active discussions with telecom operators, which have raised concerns about the need for more flexible payment options, a simplified tax framework and access to sufficient spectrum in essential bands like 2,600 MHz for 5G.

Additionally, they have advocated the introduction of new and more equitable auction models to ensure a fair spectrum distribution.

"Operators are grappling with economic challenges such as declining revenues, inflation and currency depreciation," said Mudassar Hussain, Head of Public Policy and Regulatory Affairs at Jazz. "It is crucial to prioritise market stabilisation over a rushed 5G rollout," he stressed.

Additionally, he said, the telecom sector must be formally recognised as a critical industry to get access to the support and benefits necessary for sustainable growth.

NERA's stakeholder consultations have also explored strategies to enhance the Quality of Service (QoS) standards and improve handset affordability, aimed at facilitating widespread 5G adoption.

However, operators have aired concerns over the limited availability of spectrum, emphasising the need for a fair and balanced allocation framework to ensure inclusive growth.

Amid the current government focus on 5G, industry leaders stress the importance of solidifying 4G infrastructure as the backbone of Pakistan's digital ecosystem.

A stable 4G network was essential before accelerating 5G adoption, the industry players noted, adding that a viable 5G framework was not just about technology but also about inclusivity, innovation and long-term sustainability.