ISLAMABAD, Feb 18 (APP):Pakistan Telecommunication Authority (PTA) Chairman Hafeez-ur-Rehman said on Wednesday that the long-awaited 5G spectrum auction will be held on March 10, with services initially rolling out in federal and provincial capitals and plans to expand to other cities soon.
Speaking at a media briefing on the upcoming Spectrum Auction for Next Generation Mobile Services (5G), the PTA chairman said that improved connectivity was critical to achieving the Digital Pakistan vision and promoting a cashless economy.
He said that regulatory and policy reforms have been aligned to facilitate the rollout of next-generation services.
Hafeez-ur-Rehman highlighted that the government has eliminated the right-of-way fee, which had previously delayed fiberization projects. “This initiative, supported by the Ministry of IT & Telecom, ensures faster execution of infrastructure projects,” he added.
He said that telecom operators are aware of the benefits of early network deployment. “Once licenses are issued, operators are unlikely to delay roll-out. They are already preparing business cases and investment plans, which will accelerate deployment,” he said.
The chairman also said that telecom operators have already placed orders for 5G equipment, while local manufacturing of 5G-enabled smartphones has commenced, with 500,000 to 600,000 units produced so far.
Referring to Bangladesh’s experience, the PTA chairman pointed out that it took four years for operators there to fully understand 4G use cases. “In Pakistan, our focus is on enhancing 4G quality for the 90 per cent of users currently relying on it. By efficiently utilising available bands, we expect significant improvements in service quality,” he explained.
Hafeez-ur-Rehman also outlined measures taken to facilitate faster roll-out. Operators have been offered flexibility in spectrum sharing, certain regulatory terms have been relaxed, and incentives have been provided to encourage investment in network expansion. “Operators have been given one year to make necessary capital investments without upfront spectrum payments, allowing them to focus on improving service quality,” he added.
He stressed that enhancing 4G connectivity will not only improve user experience but also boost data usage, creating a positive cycle for operators and the broader telecom ecosystem. “Our goal is to align Pakistan’s progress with regional best practices, while ensuring connectivity and quality for our population,” he said.
In response to a question, he said 5G mobile devices will be available at affordable prices, with plans to offer them on installment schemes.
Director General Licensing Aamir Shahzad explained that the auction will be conducted using a multi-round electronic clock auction format, with the main allocation stage starting on March 10. Around 597 MHz of spectrum will be made available, including mandatory bidding in the 2600 MHz and 3500 MHz bands during the first round.
Under the approved framework, the US dollar-to-PKR exchange rate will be fixed on the auction date for payment purposes. Operators will have a one-year moratorium and the option to pay either 100 percent upfront or 50 percent upfront with the remaining amount in five equal annual installments at KIBOR + 3%.
Following license issuance, 5G is expected to launch within 3–6 months, starting with federal and provincial capitals, followed by phased expansion over nine years. Each operator will be required to deploy 1,000 new sites annually, including at least 200 sites per year to address coverage gaps.
Over successive phases, 5G coverage will expand to additional cities, while fiber-to-the-site (FTTS) ratios will increase from 20 percent to 35 percent by 2035.
The regulator has mandated proportionate expansion and enhancement of 4G networks in urban and rural areas to ensure continuity and improved nationwide broadband experience.
The framework sets phased QoS enhancement targets for both 4G and 5G services through 2035. For 4G, minimum download speeds will increase from 20 Mbps in 2026–27 to 50 Mbps by 2030–35, while latency targets will drop from 75 milliseconds to 50 milliseconds. Web page loading times are expected to improve from five seconds to three seconds.
For 5G, minimum download speeds will rise from 50 Mbps initially to 100 Mbps by 2030–35, with latency targets reduced to 35 milliseconds. Upload speeds are benchmarked at 20 percent of download speeds across both technologies. New key performance indicators will also include network downtime monitoring at district, tehsil, and union council levels. PTA expects mobile broadband speeds to improve by around 25 percent following the auction.
Applications, along with a $15 million bank guarantee, must be submitted by February 27, the DG said. Qualified bidders will participate in mock auctions before the main allocation. If demand exceeds supply in any spectrum category, prices will rise in successive rounds.
The auction will conclude after the assignment stage, with provisional winners required to submit performance bank guarantees within 15 business days before licenses are granted.