The Ministry of Information Technology and Telecommunication (MoITT) has admitted that the Telecom industry is key to digitalization in Pakistan, however, due to recent economic and monetary changes the industry is facing major challenges for its sustainability.
Official documents of the Ministry noted that some of the challenges require deliberations among multiple industry stakeholders. The resolution of these challenges will facilitate the telecom sector growth in Pakistan.
These challenges and solutions are given below:
Challenges to Overcome:
Justification:
Impact if Challenges are Addressed:
Challenges to Overcome:
Justification:
Impact if Challenges are addressed:
Challenges to Overcome:
Justification:
Impact if Challenges are addressed:
Challenges to Overcome:
The Telecom sector has already been declared an “Industry” in Finance Bill, 2021. Still, the industry has to purchase electricity at a higher commercial rate and no other distinct benefits are provided to the Telecom Industry which is the backbone of digitalization in Pakistan.
Justification:
Impact if Challenges are addressed:
Challenges to Overcome:
SBP requires prior approval before opening LCs to Import Telecom Equipment and 100 percent Upfront Payment is required for these LCs.
Justification:
Impact if Challenges are addressed
Challenges to Overcome:
Justification:
The IBTF fees need to be reinstated appropriately by SBP to sustain the fintech and Digital Financial Services industry.
Impact if Challenges are addressed:
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