Pakistan raises $507 million as PTA completes third round of 5G spectrum auction
Technology
IT minister says 5G services are expected to become available in major cities within the next six months.
ISLAMABAD (Dunya News) – The country has moved a step closer to launching next-generation mobile connectivity after the Pakistan Telecommunication Authority (PTA) on Tuesday successfully completed the third round of the country’s 5G spectrum auction, generating $507 million in revenue.
The auction, organised by the PTA in Islamabad, offered 600 MHz of spectrum for next-generation mobile services and drew participation from the country’s three major telecom operators. Government officials described the process as a landmark step towards strengthening Pakistan’s digital infrastructure and expanding high-speed internet access.
Federal Minister for Finance Muhammad Aurangzeb, Federal Minister for Information Technology Shaza Fatima, and Federal Minister for Information Atta Tarar attended the launch of the auction alongside PTA Chairman Major General (Retd) Hafeez Ur Rehman.
Initially, the government plans to introduce 5G services in five major cities, with expansion expected after the initial rollout phase.
The Pakistan Telecommunication Authority (PTA) has successfully inaugurated the Spectrum Auction for Next Generation Mobile Services (NGMS) / 5G in Pakistan, marking a transformative milestone in the nation’s digital journey. The prestigious inaugural ceremony was graced by… pic.twitter.com/7bLOjsM91b
— PTA (@PTAofficialpk) March 10, 2026
First round
The auction process began with the sale of spectrum in the 2600 MHz band, where 190 MHz of spectrum was offered. Demand exceeded supply by 110 MHz, signalling strong interest from telecom operators.
Due to the higher demand, authorities decided to increase the price of the spectrum by 5 percent for the next phase of bidding.
In another band offered during the initial stage, 280 MHz of spectrum in the 3.5 GHz band was made available. Telecom operators collectively placed bids for 200 MHz, demonstrating strong market demand for mid-band frequencies considered essential for 5G performance.
Officials overseeing the process noted that the demand indicated the telecom sector’s readiness to invest in next-generation infrastructure.
Second round
The second round of the auction was also completed successfully. DG Licensing Aamir Shahzad announced the results after telecom operators adjusted their bidding strategies.
Some bidders shifted interest from the 2600 MHz band to the 700 MHz band, which is widely regarded as valuable for wider coverage and better signal penetration.
Despite these shifts, demand in the 2600 MHz band remained higher than the number of available lots. As a result, the authorities decided to further increase the spectrum price during the auction process.
Regulators explained that the dynamic bidding reflected operators’ efforts to balance coverage needs with capacity requirements as they prepare to deploy 5G networks across urban and semi-urban areas.
Third round
The third round of the auction concluded with strong participation from telecom operators, resulting in the sale of 480 MHz out of a total 597 MHz spectrum offered during the bidding rounds.
PTA Chairman Maj-Gen (r) Hafeez Ur Rehman confirmed that all lots in the 2300 MHz and 2600 MHz bands were fully booked during the process.
In the 3500 MHz band, which is widely used internationally for 5G services, 22 out of 28 available lots were successfully sold.
The three participating telecom operators secured significant portions of spectrum:
- Zong acquired 110 MHz
- Ufone secured 180 MHz
- Jazz purchased 190 MHz
According to PTA officials, the auction generated $507 million in total proceeds, marking one of the largest telecom spectrum sales in Pakistan’s history.
The PTA chairman said further discussions regarding the next phase of implementation would take place during a meeting scheduled for Thursday.
Milestone for digital sector
Speaking at the ceremony, Finance Minister Muhammad Aurangzeb described the auction as an important milestone for Pakistan’s digital economy.
He said the government was taking steps to stabilise the national economy while also addressing energy conservation measures in view of the evolving regional situation.
Aurangzeb noted that the government had worked extensively to create the ecosystem necessary for launching 5G services in the country. “Today is an important day for the IT sector,” he said. “The efforts made for the 5G auction have finally succeeded.”
He highlighted that the technology would enable a wide range of use cases across industries, including emerging fields such as blockchain and artificial intelligence.
The finance minister added that improved digital infrastructure would also contribute to the growth of IT exports and support new economic opportunities.
Aurangzeb also referred to recent government initiatives, including the Prime Minister’s announcement of online classes and work-from-home arrangements, saying enhanced connectivity would play a crucial role during periods of regional uncertainty.
Largest spectrum auction
Federal IT Minister Shaza Fatima described the auction as the largest spectrum sale in Pakistan’s history, emphasising its significance for the country’s digital transformation.
She noted that Pakistan had previously been operating on just 274 MHz of spectrum, which limited the ability of telecom operators to provide faster mobile internet services.
“With this auction, Pakistan is witnessing the biggest spectrum allocation in its history,” she said.
Fatima added that improvements in 4G services would become noticeable soon after the auction, as telecom operators expand network capacity.
She also announced that 5G services are expected to become available in major cities within the next six months.
The minister stressed that providing modern and fast internet connectivity remained a key priority for the government.
She further credited the Special Investment Facilitation Council (SIFC) with supporting initiatives aimed at accelerating digital development and attracting investment in Pakistan’s technology sector.
Spectrum availability challenge
Earlier, PTA Chairman Major General (Retd) Hafeez Ur Rehman said the successful auction marked the fulfilment of a long-held objective for Pakistan’s telecom sector.
He thanked various institutions for their cooperation in making the spectrum auction possible, noting that limited spectrum availability had been one of the biggest challenges facing the country’s telecom industry.
According to the PTA chief, collaboration between the Pakistan Telecommunication Authority and the Frequency Allocation Board played a key role in ensuring the required spectrum was made available for the auction.
He said the introduction of 5G services would help extend modern internet connectivity to remote and underserved regions of the country.
However, he pointed out that electricity load shedding remains a major obstacle affecting consistent internet availability.
Rehman described the new spectrum infrastructure as a “digital highway” that could power Pakistan’s economic growth in the coming years.
He also highlighted regulatory reforms aimed at supporting the telecom industry, including the elimination of Right of Way charges, which were previously Rs36,000 per kilometre and have now been reduced to zero.
The PTA chairman said the government had taken all possible steps to facilitate the telecom sector and encourage investment in next-generation networks, adding that the next stage would depend on industry participation in building the required infrastructure for nationwide deployment of 5G services.