The move is expected to improve internet speeds, expand digital services and strengthen the country’s telecom sector.
The deadline for submitting applications to participate in the NGMS and 5G spectrum auction was February 27 at 4:00 PM. The Pakistan Telecommunication Authority confirmed that three telecom companies submitted applications to take part in the auction.
The companies include Pak Telecom Mobile Limited Ufone, Pakistan Mobile Communications Limited Jazz and CMPak Limited Zong. These operators are currently among the largest mobile service providers in Pakistan.
PTA officials said the submitted applications will now be reviewed according to the rules set out in the Information Memorandum. After the evaluation process, the authority will announce the list of qualified bidders before the auction begins.
The 5G spectrum auction is scheduled to start on March 10. Officials say the auction will play a key role in improving Pakistan’s digital infrastructure and mobile internet services.
According to PTA, the government is offering a total of 597 megahertz of spectrum across several frequency bands. Telecom operators will be required to obtain at least 100 megahertz during the auction process.
Officials believe the auction could generate between $300 million and $700 million for the government depending on the level of competition among telecom companies.
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“With the prescribed rate, even if 300 MHz is obtained by the telecommunication operators without any competitive bidding, the government will get $300 million,” said PTA Director General Licensing Aamir Shahzad during a media briefing.
“And if all the 597 MHz is sold at auction at a slightly competitive rate, $700 million will be available for the government, but this scenario is less likely to happen,” he added.
The auction will be conducted through a multi round electronic clock auction system. During the first stage, the 2600 MHz and 3500 MHz frequency bands will be offered to telecom companies.
Officials said once the auction process is completed, the rollout of 5G services may take three to six months. Telecom companies will need time to install new infrastructure and upgrade networks.
PTA Chairman Hafeezur Rehman said the introduction of 5G will significantly improve the quality of mobile services in Pakistan.
“Around 50 million new users have been added in the system during the last five years, but only 10MHz was increased in the 2021 spectrum auction,” he said.
“Improved data service and enhanced coverage will also increase average revenue per user ARPU for telecommunication operators,” he added.
The PTA chairman explained that ARPU, a key indicator for telecom companies, has increased from $0.7 to about $1.3 as data consumption continues to grow.
“We started with $0.7 and now the ARPU has reached $1.3. Therefore, it is likely to increase as more data is consumed by the subscribers,” Rehman said.
According to the authority, mobile broadband speeds may improve by around 25 percent after the new spectrum is introduced.
To encourage investment, the government has also introduced several incentives. One major step is the removal of the right of way fee which previously cost telecom companies around Rs36,000 per kilometre every year.
Officials believe this step will encourage companies to expand fibre optic networks across the country.
PTA also confirmed that telecom companies have already started ordering 5G equipment. At the same time, local manufacturing of 5G enabled smartphones has begun in Pakistan, with around 500,000 to 600,000 units produced so far.
Telecom operators will also be required to expand 5G coverage beyond major cities including Islamabad, Karachi, Lahore, Peshawar and Quetta. Fibre connectivity to network sites will also increase from 20 percent to 35 percent by 2035.
Minimum download speeds for 4G services are also expected to improve. The target will rise from 4 megabytes per second to 20Mbps during 2026–27 and may reach 50Mbps by 2030–35.
For 5G networks, the minimum download speed will start at 50Mbps and could increase to 100Mbps by 2030–35 with improved network performance.
Officials say these improvements will help Pakistan prepare for future technologies including 6G while also strengthening the country’s digital economy.
The 5G spectrum auction is an important step for Pakistan’s digital future. Faster internet can support online businesses, education and technology startups. If implemented well, 5G may also attract investment and help modernise many sectors of the economy.
