The government may consider lowering taxes on older mobile phones to make them more affordable, Federal Minister for Information Technology and Telecommunication Shaza Fatima Khawaja told a Senate committee.

Speaking at a meeting of the Senate Standing Committee on Cabinet Secretariat, she said the Tax Policy Office should be called in to explain whether taxes on older handsets could be reduced.

The minister said the office had the authority to revise taxes on different products and could assess possible relief for mobile phone users.

Officials from the Ministry of IT and Telecommunication, the Pakistan Telecommunication Authority (PTA) and the Federal Board of Revenue (FBR) also attended the meeting, where members discussed the impact of mobile phone taxes on consumers.

Shaza Fatima said around 93 percent of mobile phones used in Pakistan were manufactured locally and that locally produced handsets were not subject to taxes. She said imported phones represented a smaller share of the market.

FBR officials told the committee that taxes on mobile phones depended on factors including the handset’s model and storage capacity. However, they said the PTA system did not identify phone models, creating difficulties in determining the applicable taxes.

The committee also discussed the affordability of mobile phones and access to newer technology. The IT minister said the import of 5G smartphones was not a concern and that FBR taxes were not hindering the adoption of 5G technology.

She further said the prime minister had directed the government to develop a policy allowing consumers to buy mobile phones through easy installment plans.

The proposed tax relief remains under consideration, and no reduction has been announced.