ISLAMABAD: Pakistan has formally notified a long-awaited policy framework allowing mobile virtual network operators (MVNOs) to enter the country’s telecommunications market, a move aimed at increasing competition, innovation and consumer choice, according to a copy of the document seen by Arab News on Wednesday.
In a report in state-run APP news agency, the Pakistan Telecommunication Authority (PTA) said the framework, approved by the federal cabinet, will enable companies without their own spectrum to offer nationwide mobile and next-generation services under their own brands through commercial agreements with licensed mobile network operators. Licenses will be issued for an initial 15-year period, subject to regulatory requirements.
MVNOs are widely used in mature telecom markets such as the United States and Europe to expand service options, target niche consumer segments and reduce costs by leasing existing network infrastructure instead of building their own. Pakistan’s mobile market is currently dominated by four major network operators, with limited room for new entrants due to high spectrum costs.
“The policy framework is designed to encourage innovative service models, improve quality of service, and expand affordable and diversified mobile offerings for consumers across Pakistan,” the APP news report said, adding that the PTA expected the move to attract investment, create jobs and support the government’s ‘Digital Pakistan’ goals.
Digital Pakistan is a government strategy aimed at expanding Internet access, boosting digital services and modernizing the economy through technology-driven growth.
According to a copy of the new framework, MVNOs will be allowed to use their own branding, manage customer care and billing systems and customize services, while relying on the spectrum and core network of partner operators. They will not be permitted to hold spectrum, deploy radio access networks or sign independent roaming agreements.
The policy sets an initial license fee of $140,000 and requires MVNOs to pay annual regulatory, universal service and research contributions based on revenue. The PTA said it will shortly issue a detailed license template and initiate the application process.
Pakistan has more than 190 million mobile subscribers but broadband penetration and service affordability remain uneven, particularly in lower-income and rural areas. Officials say MVNOs could help address these gaps by introducing low-cost, targeted and digital-first service offerings without adding pressure on spectrum resources.
