Syed Saif Ul Hassan 
Nov 23, 2025
An advertising board is seen during the first demonstration of the technology 5G in Lisbon, Portugal June 4, 2018. — Reuters
With the long-awaited launch of 5G services in Pakistan expected to revamp smartphone and connectivity experiences in the country, the Pakistan Telecommunication Authority (PTA) has urged the government to reduce taxes on telecom sector raw materials to ensure a successful 5G rollout.
As mobile phone prices are said to be higher than ever, primarily driven by heavy taxation, the PTA warned that 5G's widespread adoption could be at stake without a substantial reduction in taxes.
As Pakistan houses 196 million mobile subscribers, including 148 million mobile broadband users, it looks like the 5G transition would introduce advanced features such as e-SIMs, NFC-based e-banking, and wireless charging, Dawn reported.
After the auction missed multiple deadlines and is reeling from regulatory hurdles, the Prime Minister has set a February 2026 deadline for the 5G spectrum auction, an essential prerequisite for 5G launch across Pakistan.
As of now, less than 5% of mobile phones in Pakistan are 5G-compatible, and the telecom regulator has highlighted the need for increased availability of 5G-supported devices ahead of the launch.
The PTA has recommended reducing the 19.5% duty on imported components used in mobile manufacturing and taxes on telecom equipment.
This reductio is believed to enhance both smartphone adoption and internet user base in Pakistan, which will subsequently result in increased government revenues through expanded digital services.
It must be noted that with the 5G launch approaching, manufacturers need to prepare for the shift, as the additional costs of advanced chipsets and processors needed for 5G phones could range from $30 to $200, depending on the model.
If mobile devices' costs remain high, chances are high that Pakistani consumers will struggle to upgrade to and make the most of 5G in Pakistan.
