How Pakistan’s Push for 5G Could Turn Into Another Costly Policy Misstep, Telecom Industry Warns

Pakistan’s telecom sector has warned the government against rushing the rollout of next-generation mobile services without first tackling core affordability challenges, cautioning that a poorly timed 5G launch could drain scarce foreign exchange reserves and redirect vital investment away from strengthening basic connectivity.

The concerns were outlined in a detailed letter sent by the Telecom Operators Association of Pakistan (TOA) to the Ministry of Information Technology and Telecom, according to a report by Dawn. The association said Pakistan’s digital future will be determined not by the speed of 5G deployment, but by whether everyday consumers can afford 5G-enabled devices and derive real, practical value from being connected.

The association noted, “Introducing technology alone does not uplift societies; it is the adoption and use of that technology that drives progress.”

Only 2% Users Have 5G Phones; TOA Flags Affordability, Financing Gaps

TOA Chairman Amir Ibrahim, who authored the letter, criticized public discussions surrounding 5G for focusing almost entirely on global competitiveness and perceived technological prestige. Missing from the conversation, he said, is a basic but critical question: Who in Pakistan will actually be able to use 5G? According to industry figures, only around two per cent of mobile subscribers currently possess 5G-enabled devices.

The association pointed out that entry-level 5G smartphones begin at roughly PKR 90,000, while premium models such as iPhones can cost up to PKR 700,000, amounts well beyond the reach of most citizens in a low-income, prepaid-driven market. It added that 5G support requires more advanced modems and radio components, which increase manufacturing costs and further push devices out of mass-market affordability.

The TOA stated that the lack of accessible handset financing options further restricts adoption and urged the government to introduce consumer-friendly instalment schemes. Without such demand-side measures, policymakers risk building a sophisticated network that few people can actually use, as Dawn highlights.

The association cautioned that focusing narrowly on rollout deadlines and coverage obligations without tackling affordability barriers could result in an underutilized 5G infrastructure, much like Pakistan’s uneven 4G experience.

Even a decade after the first 4G auction, one in four users still lacks mobile broadband. The TOA stated that 5G could deepen Pakistan’s digital divide unless regulators reduce device taxes, enable financing mechanisms, and align policy with real consumer needs, as reported by Dawn.

(Inputs from ANI)