Pakistan is gearing up for the launch of 5G services in 2026, but the Pakistan Telecommunication Authority (PTA) has called on the government to reduce taxes on telecom sector components to ensure affordable devices and a smooth rollout. According to a report by Dawn News.
The prime minister has tasked the Ministry of Information Technology and Telecom and PTA to auction the 5G spectrum by February 2026, a move expected to accelerate mobile-based services across the country. PTA data shows Pakistan currently has 196 million mobile subscribers, including 148 million mobile broadband users.
The transition to 5G is expected to introduce features such as e-SIMs, NFC-based e-banking via barcodes, nano-banking, and wireless charging. These will require advanced chipsets and processors, which will drive device upgrades. Currently, fewer than five per cent of phones in Pakistan are 5G-enabled.
Manufacturers are producing around 1.2 million smartphones and 1.5 million feature phones monthly, adding up to approximately 30 million devices annually.
The PTA has highlighted that heavy taxation — including duties of around 19.5 per cent on imported components and backend equipment — is a major barrier to expanding mobile penetration and internet usage. It has recommended lowering or removing these taxes, which could boost smartphone adoption and generate higher government revenue through the expansion of digital services.
Around 40 per cent of mobile users still rely on feature phones, and nearly 10 per cent of the population does not own any phone, underscoring the need for affordable 5G-compatible devices ahead of the formal launch.
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