The GSMA has cautioned that Pakistan’s high taxes on the telecom sector could undermine 5G deployment and future network expansion, even as the country’s digital ecosystem continues to improve.

Releasing its Digital Pakistan 2030 report, GSMA’s Head of Asia Pacific, Julian Gorman, said recent spectrum reforms have created a more favorable environment for telecom investment. However, he warned that maintaining a heavy tax burden on the industry could discourage operators from investing in 5G infrastructure and expanding network coverage.

According to the report, Pakistan’s telecom sector contributed around Rs. 278 billion in taxes and regulatory fees during 2025.

The report also highlighted notable gains in digital inclusion. Mobile internet adoption among women increased from 45% to 53%, while the country’s mobile internet gender gap narrowed significantly from 25% to 8%.

GSMA said Pakistan’s digital economy is gaining momentum but stressed that stronger cybersecurity measures and data governance frameworks will be essential to sustain long-term growth.

Meanwhile, the Senate Standing Committee on Cabinet Secretariat directed Federal IT Minister Shaza Fatima and the IT secretary to appear before its next meeting after both officials failed to attend discussions on the Right of Way (RoW) issues affecting telecom operators. Lawmakers had expected both officials to brief the committee on measures to address barriers to telecom infrastructure deployment.