ONCE again, the promise of a spectrum auction in Pakistan remains just that—a promise.
Despite multiple commitments and self-imposed deadlines, the auction has yet to materialize. This persistent delay, exacerbated by legal hurdles, exorbitant reserve prices and policy ambiguities, threatens not only the advancement of the telecom sector but also Pakistan’s broader ambition of becoming a digital economy powerhouse.
Julian Gorman, the Head of Asia Pacific at the Global System for Mobile Communications (GSMA), has voiced serious concerns to the government’s spectrum auction advisory committee. His warning was clear and urgent: Pakistan cannot hope to boost its information technology (IT)-based exports to $25 billion over the next five years if the spectrum auction is pushed back to 2027. The implications are far-reaching. Without fresh spectrum allocation, the expansion and enhancement of 4G networks will remain sluggish. Worse, the much-needed rollout of 5G will be postponed by at least two years—placing Pakistan significantly behind its regional peers. For a country that has repeatedly spoken of becoming a tech hub, this is a stark contradiction. The reality on the ground is even more disheartening. In many areas of Pakistan, especially rural and underserved regions, even 4G services are either patchy or completely absent. The digital divide continues to widen, leaving millions without access to reliable internet. This digital lag isn’t just an inconvenience—it’s a major barrier to education, e-commerce, healthcare access and economic participation. The government must address all legal, regulatory and fiscal impediments with urgency. Reserve prices should be set at realistic, market-friendly levels to attract greater participation. Crucially, a clear and long-term spectrum roadmap must be provided to reduce uncertainty and enable proper network planning. It is alarming that despite the last auction being held over four years ago, a substantial portion of the available spectrum still went unsold—a clear indicator of flawed policy. Investors and industry stakeholders interpret these failures as signs of an unfriendly regulatory environment, which only discourages further investment. We stand at a critical crossroads. If we are serious about unlocking the potential of the digital economy—creating jobs, boosting exports, improving service delivery and empowering citizens—we must act now. The spectrum auction must no longer be treated as an afterthought or a revenue-maximizing exercise. Instead, it must be approached strategically, as a catalyst for national growth.
