Prime Minister Shehbaz Sharif has directed the Ministry of Information Technology and Telecommunication to accelerate the implementation of a long-awaited Mobile[1] Virtual Network Operator (MVNO) framework, aiming to spur growth and attract new investment in Pakistan’s telecom sector.
The directive follows a pre-cabinet briefing on the proposed framework, with the Prime Minister urging the ministry to expedite the process. Once finalized, the framework will be presented to the federal cabinet for approval.
The MVNO framework, drafted by the Pakistan Telecommunication Authority (PTA) and submitted to the ministry nearly a year ago, remains pending despite expectations it would be finalized ahead of the next spectrum auction.
The framework is designed to clarify spectrum requirements and facilitate more informed decision-making during the auction process.
Under the proposed rules, MVNOs, telecom operators that do not own spectrum but partner with existing mobile network operators (MNOs), would be granted 15-year licenses, allowing smaller companies to operate under their own brands and offer customized services. The initial nationwide MVNO license fee is set at $140,000, payable in Pakistani rupees at the prevailing National Bank of Pakistan exchange rate.
MVNOs and their parent MNOs will be required to pay all annual regulatory fees and contributions, including those to the Universal Service Fund and Research & Development Fund, based on aggregate annual gross revenue. The framework also outlines conditions for license suspension and restoration if agreements between MVNOs and MNOs are terminated.
The new policy mandates that MVNOs maintain service quality and customer satisfaction in line with PTA benchmarks, establish at least one customer care center per operational city, and operate a 24/7 nationwide helpline. MVNOs must also comply with national security protocols, including lawful interception, data management, and SIM activation requirements.
Parent MNOs are required to provide uninterrupted service to MVNOs and cannot alter or discontinue service without prior PTA approval. Similarly, MVNOs must give at least three months’ notice and obtain PTA consent before halting services. Compliance with the PTA’s Device Identification Registration and Blocking System (DIRBS) is also mandatory.