Islamabad – Pakistan is poised to enter the next generation of mobile connectivity, with 5G services anticipated to launch in key cities within six months, following a spectrum auction scheduled for March 10th. This rollout is being accompanied by a concerted effort to bolster the domestic mobile phone manufacturing sector, aiming to meet the anticipated surge in demand for 5G-compatible devices. The move comes as the country grapples with persistent issues of slow internet speeds, attributed to a critical shortage of available spectrum.
The impending 5G deployment represents a significant step forward for Pakistan’s digital infrastructure. Currently, the nation operates its mobile internet network on a limited 274 megahertz of spectrum, serving a population of nearly 240 million. Federal Minister for Information Technology and Telecommunication, Shaza Fatima Khawaja, described the situation as akin to “trying to run four-lane traffic on a two-lane road,” highlighting the urgent need for increased spectrum availability. As reported by The Nation, Pakistan currently has one of the lowest spectrum availability levels in the region, lagging behind countries like Bangladesh, which boasts nearly 600 megahertz of spectrum despite having a smaller population.
Spectrum Auction and Policy Framework
To address this shortfall, the federal cabinet has approved a framework for a major spectrum auction, which will develop approximately 600 megahertz of additional spectrum available to telecom operators. The auction will encompass seven spectrum bands, with five being auctioned in Pakistan for the first time, according to Minister Khawaja. This expansion is expected to significantly improve both 3G and 4G services within three to four months of the auction’s completion. The Pakistan Telecommunication Authority (PTA) has published an Information Memorandum detailing the auction process for Next Generation Mobile Services (NGMS)/5G, covering bands including 700, 1800, 2100, 2300, 2600, and 3500 MHz.
Alongside the spectrum auction, the Ministry of Industries and Production has finalized the Mobile and Electronic Devices Manufacturing Policy 2026-33. This policy, chaired by Special Assistant to the Prime Minister Haroon Akhtar Khan, aims to stimulate the growth of the country’s industrial sector, with a particular focus on electronics manufacturing. Khan described the policy as a “milestone initiative” that will begin with mobile phones and eventually extend to other electronic devices. The policy was finalized at a meeting on February 22nd, 2026, and is awaiting approval from the Prime Minister.
Boosting Domestic Manufacturing
The new policy includes several key incentives designed to encourage domestic mobile phone production and exports. A significant feature is an 8 percent incentive on mobile phone exports, coupled with a reduction in customs duties on the import of parts. Conversely, the import of completely built-up (CBU) mobile phones and accessories will face higher duties. This strategy aims to promote local assembly and manufacturing, reducing reliance on imports and fostering economic growth. Currently, Pakistan has 37 licensed mobile set manufacturers, producing approximately 40 million mobile units annually. In 2025, the country assembled 30.2 million phone sets, with feature phones accounting for around 40 percent of the total.
Amir Allawala, a senior member of the Pakistan Mobile Phone Manufacturers Association, welcomed the new policy, stating that it arrives at a crucial time. “The new policy comes at the right time as the telcos will accept around 5-6 months after obtaining the spectrum to implement the infrastructure for introducing 5G services in key urban areas and 4G in other cities and towns,” Allawala explained. He also noted that the mobile phone industry requires a similar timeframe to transition to 5G sets, with many companies already shifting their production lines from feature phones to smartphones.
Impact on 4G and 5G Infrastructure
The expansion of spectrum availability is expected to have a dual impact on mobile connectivity in Pakistan. The auction of multiple bands will broaden the 4G coverage area, enhancing service availability across the country. Simultaneously, it will pave the way for the introduction of 5G services, initially in provincial capitals, including Islamabad. Telecom operators anticipate needing approximately five to six months after acquiring the spectrum to establish the necessary infrastructure for 5G deployment. The rollout will likely begin in major urban centers, with a gradual expansion to other cities and towns.
The Ministry of Industries and Production anticipates that the increased spectrum availability will not only improve mobile internet speeds but also stimulate demand for smartphones, particularly 5G-compatible devices. This anticipated demand is a key driver behind the new Mobile and Electronic Devices Manufacturing Policy, which seeks to create a favorable environment for local manufacturers to meet the growing needs of the market. The policy also recommends the establishment of a dedicated Mobile & Electronics Devices Cell within the Engineering Development Board (EDB) to ensure effective implementation and coordination.
The potential for increased smartphone adoption is significant, with local consumption currently reaching approximately 40 million sets per annum. Export incentives are considered essential to boost the industry, given the need to increase production capacity and compete in the global market. The policy aims to address this by incentivizing exports and reducing the cost of importing essential components for local manufacturing.
Key Takeaways
- Pakistan is preparing for the launch of 5G services within six months, following a spectrum auction on March 10th.
- The government has finalized a new Mobile and Electronic Devices Manufacturing Policy 2026-33 to boost local production.
- The policy includes incentives for exports and reductions in customs duties on imported parts.
- Increased spectrum availability is expected to improve both 4G and 5G connectivity across the country.
- The mobile phone industry is adapting to the shift towards 5G, with manufacturers transitioning production lines.
The successful implementation of both the spectrum auction and the new manufacturing policy will be crucial for Pakistan’s digital transformation. The availability of faster and more reliable internet connectivity is expected to unlock new opportunities for economic growth, innovation, and social development. The next key step will be the Prime Minister’s approval of the Mobile and Electronic Devices Manufacturing Policy, paving the way for its full implementation.
Stay tuned to World Today Journal for further updates on Pakistan’s 5G rollout and the evolving landscape of its mobile phone industry. We encourage you to share your thoughts and perspectives in the comments below.