Major tax cuts for 5G technology launch in Pakistan

Major tax cuts for 5G technology launch in Pakistan

A discussion held during a seminar on Monday, titled: “5G Imperative in Pakistan: The Need for Comprehensive Infrastructure, Economic Readiness, and Digital Sovereignty,” concluded that the effective implementation and acceptance of 5G technology in Pakistan depends significantly on substantial tax reductions and a robust business-to-business strategy.

If tax cuts are not implemented, then the nation’s shift to 5G will progress slowly due to excessive taxation, elevated handset prices, and insufficient industrial applications.

The meeting was organised by the Sustainable Development Policy Institute as part of its Study Group on IT and Telecommunication.

Hope remains for 5G in Pakistan

In his introductory remarks, the Distinguished Adviser Emeritus of SDPI, Brig (R) Mohammad Yasin, described the upcoming auction of nearly 600 MHz of spectrum as potentially the largest in Pakistan’s history, referring to it as a structural transformation rather than just a technological enhancement.

The Director-General of Cyber Vigilance, Dr. Muhammad Mukarram Khan at the Pakistan Telecommunication Authority (PTA), emphasised that the PTA must find a balance between the interests of the government, cellular mobile operators (CMOs), and the public.

A renowned IT consultant, Parvez Iftikhar, further noted that the 5G spectrum auction could eliminate significant obstacles to sector modernization.

However, he warned that 5G would not become universally available overnight. Associate Research Fellow and Head of the Center for Ecological Sustainability and Circular Economy at SDPI, Dr. Zainab Naeem, highlighted the necessity for regulatory clarity, investment confidence, skilled workforce, and demand from the actual sectors of the economy.