Pakistan’s dream of becoming a digital hub could be derailed unless urgent telecom policy reforms are carried out, the GSMA cautioned at its Digital Nation Summit 2025.
Julian Gorman, GSMA’s Head of Asia Pacific, said the country’s digital potential is being held back by excessive taxation, limited spectrum availability, and inconsistent policymaking.
Gorman noted that telecom taxation can be reduced even under IMF agreements, citing Argentina’s reforms. He warned that if Pakistan does not act now, foreign investors may exit the market, and freelancers could lose their livelihoods due to poor internet access and electricity shortages.
The absence of Federal IT Minister Shaza Fatima Khawaja from the conference drew criticism from industry leaders. “It is unfortunate that the minister is not present,” a senior GSMA official commented.
Calling for immediate expansion of spectrum and fast-tracking satellite internet services, Gorman stressed that Pakistan must adapt quickly as AI and emerging technologies reshape the global economy.
The GSMA report released at the event highlighted Pakistan’s slow 5G rollout compared to other Asia-Pacific nations. It also criticised the 40% tax burden on smartphones and multiple levies on mobile broadband, saying these measures discourage digital adoption.
Bilal Azhar Kayani, Minister of State for Finance, used the platform to announce the government’s plan to digitise all payments within 18 months, implement AI-powered reforms at the FBR, and push for a cashless economy.
PTA Chairman Maj Gen (retd) Hafeezur Rehman acknowledged that the digital transformation journey has been difficult but said the government has now decided to abolish all Right of Way charges for fibre optic cable installation.
P@SHA Chairman Sajjad Syed issued a stark warning: Pakistan’s IT export growth is falling, and the industry is seeing a slow but steady relocation of businesses abroad.