The federal government has finalized base prices for multiple spectrum bands ahead of Pakistan’s upcoming 5G spectrum auction, giving telecom operators a clear cost framework before bidding begins. This move is aimed at reducing uncertainty and helping companies prepare realistic investment plans.
The pricing was approved on the advice of the Auction Advisory Committee, with technical input from an international consultant. Different frequency bands have been priced based on coverage strength, data capacity, and global demand.
For paired spectrum, the 700 MHz band—known for wide coverage—has been priced lower per MHz compared to higher-capacity bands. Meanwhile, the 1800 MHz and 2100 MHz bands, commonly used for mobile broadband expansion, carry higher base prices reflecting their commercial value.
For unpaired spectrum, rates vary across the 2300 MHz, 2600 MHz, and 3500 MHz bands. Among these, the 3500 MHz band stands out as the core frequency for 5G services worldwide due to its balance between speed and capacity.
To manage currency risk, the government has decided that spectrum fees will be paid in Pakistani rupees, using a locked USD exchange rate based on the National Bank’s TT selling rate just before the auction.
Winning bidders will have flexible payment options, including full payment or staged installments spread over several years, with financing linked to KIBOR. Spectrum licenses issued through the auction will remain valid for 15 years, under the regulatory oversight of the Pakistan Telecommunication Authority.
This article is published for informational and educational purposes only. nise.org.pk is not an official government website and is not affiliated with any government department. Readers are advised to verify all information from official sources before taking any action.
