New PTA policy for MVNOs to be approved soon

MVNOs' in Pakistan function by leasing infrastructure from existing MNOs, and manage branding, marketing, and customer service independently
An undated image. — iStock

An undated image. — iStock

The long-awaited policy framework likely to transform Pakistan’s telecom industry is has reportedly approached closer to approval, as the federal cabinet is now set to review the new PTA policy for Mobile Virtual Network Operators (MVNOs.

The new PTA policy has already been granted clearance from the law ministry, regarding which the IT ministry has also provided its feedback.

The development marks a significant move towards the implementation of a framework that has faced multiple delays over the past few months. ProPakistani reported.

The draft of the new PTA policy was finalised by the Pakistan Telecommunication Authority (PTA) in June 2024, with its licence fee reduced from $5 million to $140,000 and alongside the extension of the licence term to 15 years to encourage new entrants in the telecom industry.

MVNOs' in Pakistan function by leasing infrastructure from existing Mobile Network Operators (MNOs), and manage branding, marketing, and customer service independently. A major noteworthy point is that they are bound to sign commercial agreements with MNOs that are subject to PTA approval under the New PTA policy.

The telecom authority will begin accepting MVNO applications after the framework's approval from the cabinet, which will be followed by licensing and regulatory compliance processes. According to officials, the first licences could be issued soon after legal formalities are completed.