Pakistan Telecom, IT, Tech updates

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Pakistan proposes 5% levy on mobile imports to fund local manufacturing effort​

Government expects to collect $368m under new electronic device manufacturing policy

Our Correspondent
January 02, 2026

ISLAMABAD: The government is likely to impose up to 5% levy on the import of mobile phones and electronic devices in the new proposed policy for the period 2026-33.

During the entire period, the government expects to collect $368 million through the levy, which will be spent on the localisation of mobile phone manufacturing.

Already high tax rates are being charged on the import of mobile phones to give a push to the localisation drive. The Mobile and Electronic Device Manufacturing Policy has been finalised and is awaiting presentation to the prime minister.

During the meeting, a detailed briefing was given on the new policy. SAPM stated that the policy had been designed after extensive consultations with all stakeholders and covered mobile phones, laptops and other electronic devices, making it a comprehensive and broad-based policy.

He added that the policy represented a major shift from simple assembly to full-scale manufacturing and was essential for the promotion of local production and exports. Under the policy, international brands will be encouraged to manufacture electronic tdevices in Pakistan, while local brands will be empowered to expand their manufacturing capabilities.

 

[ghazi52]

The policy clearly defined phase-wise manufacturing targets and timelines, and the transition from assembling to manufacturing was on Pakistan's doorstep, with the country's economic progress closely linked to that shift. According to the EDB, the policy aims to achieve 50% localisation in mobile phones by 2033. It sets a target of 70% e-waste recovery through organised systems, which will have a positive impact on the environment. Additionally, 50,000 skilled workers will be trained, including 15,000 specialised professionals.

SAPM informed the meeting that the new proposed policy would be presented to the prime minister in the near future.

Under the previous policy, 37 licences were issued by the Pakistan Telecommunication Authority (PTA) for local assembly. As a result, production grew from 0.1 million units in 2019 to 30.1 million units. According to the PTA's projections for 2025, 93% of market demand was met domestically while imports dropped from 16 million units (2019) to 2.04 million units in 2025.

Apart from those, Pakistan exported 230,000 mobile phones to the United Arab Emirates and Gulf Cooperation Council (GCC) states. Also, mobile companies invested $250-300 million and created 50,000 to 60,000 direct and indirect jobs.

 

[ejaz007]

Freelancing sector witnesses 91% growth in 2025​

Nuzhat Nazar Published January 6, 2026 Updated about 3 hours ago
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ISLAMABAD: Pakistan’s freelancing sector has seen a remarkable 91 percent growth in 2025, reflecting the rising role of young professionals in strengthening the national economy and highlighting the government’s renewed focus on empowering youth through technology and skills development.

The progress was highlighted by Federal Minister for Information Technology and Telecommunication Shaza Fatima Khawaja while addressing the closing ceremony of the 19th Buraq Space Camp, organized by OIC-COMSTECH here.

She said such initiatives are vital for preparing young minds for future challenges and for promoting innovation, science, and leadership among students.


READ MORE: Freelance services: annual foreign exchange inflows may reach $500m in Pakistan

The minister Informed that the Buraq Space Camp began on 29 December 2025 at the COMSTECH Secretariat, where 40 shortlisted students successfully completed specialized training.

Congratulating the organizers, she said the camp provided a valuable platform for students to explore space sciences, technology, and emerging fields.

Shaza Fatima Khawaja described Pakistan’s youth as the country’s most precious asset, stressing that there is no shortage of talent in the country.

She said Pakistan needs a strong and skilled young leadership to steer the nation forward, particularly in the face of global challenges such as climate change and rapid technological transformation.

Referring to Pakistan’s demographic profile, she noted that a large portion of the population consists of young people, and the government is actively working to guide them in the right direction. She said youth are being trained across multiple sectors, with a strong emphasis on information technology, digital skills, and innovation to help them achieve economic self-reliance.

The minister reiterated the government’s commitment to the Digital Pakistan vision, stating that digitalization will improve access to data, services, and opportunities for citizens. She said efforts are underway to improve high-speed internet connectivity across the country, while acknowledging challenges related to limited low spectrum availability.

She further announced that 5G internet services are expected to be launched in the coming months, emphasizing that sustainable development is not possible without reliable internet access. She said the internet has transformed work patterns, enabling individuals to perform multiple tasks efficiently and connect with global markets.

Highlighting the role of youth in national resilience, Shaza Fatima Khawaja said young professionals played an important role in cyber security during critical national situations, demonstrating their technical capability and commitment to the country. She emphasized that investing in youth is the most effective form of national investment.

Concluding her remarks, the minister said the strong growth in freelancing clearly shows that Pakistani youth are increasingly contributing to the economy.

She reaffirmed the government’s resolve to further empower young people through technology, skills development, and digital opportunities, enabling them to compete confidently at the global level.

Copyright Business Recorder, 2026

 

[ghazi52]

Ban on import of used mobile sets: ‘Mobile and Electronic Devices Manufacturing Policy 2026’ unveiled​

Abdul Rasheed Azad
January 6, 2026

ISLAMABAD: While unveiling its Mobile and Electronic Devices Manufacturing Policy 2026-33, the Ministry of Industries and Production on Monday announced that the government will ban the import of used mobile sets under the new policy.

The new Mobile and Electronic Devices Manufacturing Policy 2026-33 has been prepared by the Engineering Development Board (EDB) in collaboration with local mobile phone manufacturers, which targets global brands, export-led growth through local production in line with other countries such as India, Vietnam, and Bangladesh.

The policy was presented here during a high-level meeting chaired by the Special Assistant to the Prime Minister (SAPM) on Industries and Production, Haroon Akhtar Khan, to review progress and align stakeholders on the policy’s objectives and implementation framework.

The meeting was attended by Secretary Industries and Production Saif Anjum, CEO Engineering Development Board (EDB) Hammad Mansoor, and representatives of the Pakistan Mobile Phone Manufacturers Association (PMPMA).

 

[ghazi52]

A detailed presentation on the policy was given, including an assessment of the comparative benefits of local assembly versus complete imports. Addressing the meeting, Haroon Akhtar Khan stated that the primary objective of the policy is to create employment opportunities at the local level and to strengthen Pakistan’s industrial base.

As per the policy,

(i) mandatory export targets are counterproductive (the auto sector is an example),
(ii) quality certification is mandatorily required for exports, but it should not be applied by force,
(iii) Local labs should be set up by the government,
(iv) Penalties on performance targets and EDB must define the minimum number of parts in a SKD kit for smartphones,40 parts per SKD kit, and for feature phones,15 parts per SKD kit,
(v) Valuation rulings need to be institutionalised with participation of EDB and PMPMA together with the Customs valuation directorate,
(vi) To avoid under-invoicing, CBU, as well as locally manufactured mobile phones recommended to be placed in 3rd schedule of sales tax,
(vii) Export targets should be directly linked with Tax Increment Financing (TIF) implementation,
(viii) Tariff gap between CBU and SKD should be a minimum of 30 percent,
(ix) Tax Increment Financing Levy may be applicable on CBU as well as SKD imports,
(x) E-Waste management is a complex subject.

 

[ghazi52]

This phased localisation will be adopted to encourage foreign investment in high-tech manufacturing, ensuring sustainable industrial growth. Under the policy, special emphasis will be placed on the local manufacturing of key components, including motherboards, PCBs, electronic parts, and display components.

 

[ghazi52]

Representatives of mobile manufacturers informed the meeting that leading global brands such as Samsung, Xiaomi, Oppo, Vivo, Nokia, and others are potential candidates for investment in Pakistan under the new policy framework.

It was highlighted that growth in the mobile sector will have a positive spillover effect on other electronic industries, fostering broader industrial development.

The Special Assistant further stated that the new policy will introduce an export-oriented, globally competitive industrial framework, aligned with international standards.

He noted that strict compliance mechanisms will be enforced, and incentives will be withdrawn and penalties imposed in cases of violations related to localisation targets, reporting requirements, or operational obligations. In cases of non-compliance, suspension of import licenses and financial penalties will also be applicable, as decided by the committee.

 

[ghazi52]

Mobile manufacturers stressed the importance of quality certification for exports and recommended the establishment of local testing and certification laboratories at the government level to facilitate compliance with international standards.

Haroon Akhtar Khan directed that both the public and private sectors must work closely together to ensure the successful implementation of the Mobile and Electronics Device Manufacturing Policy and to achieve Pakistan’s goals of export-led growth and industrial transformation.

 

[hydrabadi_arab]

The federal government has decided to withdraw incentives and impose penalties on mobile and electronics manufacturers in cases of non-compliance with localisation targets, reporting requirements and operational obligations under the proposed Mobile and Electronic Device Manufacturing Policy.

The decision was taken during a high-level meeting chaired by Special Assistant to the Prime Minister on Industries and Production Haroon Akhtar Khan on Monday, where officials reviewed progress on the policy and agreed on strict enforcement mechanisms, including suspension of import licences and financial penalties for violations.

The policy framework aims to shift Pakistan’s electronics sector from assembly-based operations toward deeper localisation and export-oriented manufacturing, with compliance linked to continued access to incentives.

The meeting was attended by Secretary Industries and Production Saif Anjum, Engineering Development Board (EDB) Chief Executive Hammad Mansoor, and representatives of mobile phone manufacturers. A detailed presentation outlined the transition from complete imports to phased local manufacturing, focusing on employment generation and industrial capacity building.

Under the policy framework, mandatory export targets have been ruled out, with officials noting that forced export benchmarks have proven counterproductive in other sectors, including automobiles. Instead, export performance will be encouraged through fiscal instruments, with export outcomes proposed to be linked directly to Tax Increment Financing (TIF).

Quality certification has been made mandatory for exports, though officials clarified that compliance will not be enforced coercively. The government plans to establish local testing and certification laboratories to support exporters in meeting international standards.


The policy also introduces defined performance benchmarks for localisation. The EDB has been tasked with specifying minimum component thresholds, including at least 40 parts per semi-knocked-down (SKD) kit for smartphones and 15 parts per SKD kit for feature phones. Penalties will apply in cases of underperformance against these benchmarks.

To address valuation and under-invoicing risks, officials agreed that valuation rulings will be institutionalised with joint participation from the EDB, the Pakistan Mobile Phone Manufacturers Association and the Customs valuation directorate. In addition, both completely built units (CBU) and locally manufactured mobile phones are proposed to be placed under the Third Schedule of the sales tax regime to curb misdeclaration.

The policy also sets a minimum tariff gap of 30% between CBU and SKD imports to protect local manufacturing, while a Tax Increment Financing levy may be applied on both CBU and SKD imports. Officials noted that e-waste management remains a complex area and will be addressed through a separate, structured framework.


Manufacturers informed the meeting that global brands including Samsung, Xiaomi, Oppo, Vivo and Nokia have shown interest in expanding manufacturing operations in Pakistan under the new policy.

Officials said the policy will be presented to the prime minister after final alignment with stakeholders, with implementation focused on compliance-driven incentives, localisation discipline and export-linked growth.

 

[Fatman17]

Pakistan Telecommunication Authority’s strict device registration regime is paying off. Over the past six years, PTA has collected Rs83 billion in taxes through mobile phone registration, while blocking a massive 100 million illegal, cloned, and stolen devices nationwide.

In FY2024–25 alone, 72 million phones were blocked, including thousands of stolen handsets and millions with fake IMEIs. The enforcement of DIRBS has cleaned up the mobile market, curtailed smuggling, and strengthened documentation.

The results are visible: by 2025, 95% of phones on Pakistani networks were locally manufactured, with 68% smartphones made within the country. Strong regulation is driving revenue, security, and local industry growth.

 

[ghazi52]

Spectrum auction to double airwaves, ease network congestion​

• Official says th auction will be technology-neutral, allowing telecom operators to deploy the spectrum across multiple generations, including 2G, 3G, 4G, 5G and future technologies such as 6G

Tahir Amin
January 7, 2026



Pakistan’s forthcoming spectrum auction is being positioned as a game-changer for mobile network quality, with the government downplaying 5G handset concerns as it moves to cut device taxes and push local production of 5G-ready phones.

This was stated by government officials and industry observers while talking to Business Recorder.

They said the upcoming spectrum auction is expected to play a significant role in improving mobile network quality and addressing congestion issues.

The auction will be technology-neutral, allowing telecom operators to deploy the spectrum across multiple generations, including 2G, 3G, 4G, 5G and future technologies such as 6G.

Officials and analysts say this approach provides operators with flexibility to respond to market demand while strengthening existing services.

Currently, Pakistan operates with approximately 274 MHz of spectrum, which is considered the lowest allocation among regional peers.

In the upcoming auction, the government is expected to offer around 600 MHz of spectrum, a move that could more than double the country’s available airwaves for mobile services.

 

[ghazi52]

The upcoming spectrum auction is being widely welcomed as a critical step toward fixing chronic network congestion and improving quality of services across the country, industry experts say.

Industry experts note that limited spectrum availability has been a key factor behind declining quality of service, particularly in high-density urban areas.

Additional spectrum is expected to help reduce network congestion and improve call quality and data speeds.

Concerns related to low 5G handset penetration are not expected to affect the auction process.

Officials revealed that a committee led by Secretary Finance and Chairman Federal Board of Revenue (FBR) are working to rationalize taxes on mobile handsets before the upcoming budget for 2026-27.

Official further revealed that Pakistan Telecommunication Authority (PTA) is engaged with local mobile manufactures to start work on 5G enabled handsets in the country.

The 5G is expected to take around 6 months to rollout especially in major cities and by that time the number of 5G enabled handsets would be increased manifold, they added.

 

[ghazi52]

Analysts point to Sri Lanka’s recent spectrum auction, which proceeded despite 5G smartphone penetration being close to one percent, as an example of adopting a forward-looking spectrum policy.

The technology-neutral framework would also allow operators to immediately use newly acquired spectrum to enhance existing 4G and 3G networks, benefiting the majority of mobile users without waiting for large-scale 5G adoption.

The auction is being viewed as an important step for strengthening Pakistan’s telecom infrastructure at a time when mobile data consumption continues to rise steadily.

Improved spectrum availability is also seen as supporting broader digital objectives, including connectivity expansion and economic activity.

Further details regarding pricing, timelines and spectrum bands are expected to be announced by the government in the coming weeks.

 

[ghazi52]

Pakistan govt approves base prices for upcoming 5G spectrum auction​

Bid comes amid a growing demand for high-speed internet services, with a rising number of broadband subscribers

Web Desk
January 08, 2026

The Government of Pakistan has issued a policy directive for the upcoming auction of radio frequency spectrum aimed at enhancing next-generation mobile services. This directive, which follows the country’s broader digital transformation strategy, outlines the auction process for key frequency bands, including 700 MHz, 1800 MHz, 2100 MHz, 2300 MHz, 2600 MHz, and 3500 MHz.

In a bid to meet the growing demand for high-speed mobile broadband services, which have surged alongside a rising number of broadband subscribers, the Pakistan Telecommunication Authority (PTA) is tasked with managing the auction. According to the policy directive, the PTA will auction a total of 15 MHz paired spectrum in the 700 MHz band and 50 MHz of unpaired spectrum across the 2300 MHz, 2600 MHz, and 3500 MHz bands.

 

[ghazi52]

The base price for 1 MHz of paired spectrum in the 700 MHz band is set at USD 6.5 million, while the price for 1 MHz of paired spectrum in the 2100 MHz band is set at $14 million. Other base prices include USD 1 million for 1 MHz unpaired spectrum in the 2300 MHz band, $1.25 million for the 2600 MHz band, and $0.65 million for the 3500 MHz band.

The auction will follow a process aimed at ensuring transparency, with both existing and new cellular mobile operators eligible to participate.

, the PTA will establish an information memorandum detailing eligibility criteria, auction procedures, and the technology requirements for participants. This auction is designed to be technology-neutral, supporting the roll-out of advanced mobile technologies like 5G.

Technology-neutral means that the spectrum being auctioned is not restricted to just 5G technology, but can be used for any future mobile technology as well, such as 4G, 5G, or even 6G in the future, as long as the technology complies with Pakistan's regulatory framework and international communications standards.

A moratorium of one year will be granted to auction winners, during which no payment will be due. Payment terms after this period will include both upfront payment options and a deferred payment structure, with interest based on the Karachi Interbank Offered Rate.

Measures outlined in the directive include promoting local manufacturing of smartphones and improving infrastructure to facilitate faster 5G adoption.