Prime Minister Shehbaz Sharif has instructed the Ministry of Information Technology and Telecommunication to fast-track the rollout of Pakistan’s long-awaited Mobile Virtual Network Operator (MVNO) framework to boost telecom sector growth and attract fresh investment. The directive followed a pre-cabinet briefing on the proposed policy, where the Prime Minister emphasized the importance of early implementation. Once the final draft is ready, it will be presented to the federal cabinet for formal approval, paving the way for Pakistan to introduce a new layer of competition and innovation in the mobile services landscape.
The MVNO framework, originally prepared by PTA and submitted to the ministry nearly a year ago, has been awaiting approval despite earlier expectations that it would be finalized before the next spectrum auction. The proposed framework aims to bring much-needed clarity on spectrum-related requirements and support better policy alignment for upcoming spectrum releases. By providing regulatory direction, it will allow the telecom industry to expand service diversity, improve efficiency, and create more value for end-users.
Under the proposed structure, MVNOs—operators that do not own radio spectrum but provide mobile services through partnerships with existing mobile network operators (MNOs)—will be issued 15-year licenses, granting them the authority to operate under their own brands. These companies will be able to offer tailored services to niche markets, enhancing competition and service quality across the sector. The initial nationwide MVNO license fee has been set at $140,000, payable in Pakistani rupees at the prevailing National Bank of Pakistan exchange rate. Both MVNOs and their parent MNOs will contribute to annual regulatory charges and funds, including the Universal Service Fund and Research & Development Fund, calculated based on their combined gross annual revenue. The framework further specifies the conditions for license suspension and restoration in cases where contractual agreements between MVNOs and MNOs are disrupted or terminated.
The new policy outlines strict service standards and compliance obligations for MVNOs. Operators will be required to maintain service quality according to PTA benchmarks, ensuring customer satisfaction and network reliability. Each MVNO must establish at least one customer care center in every operational city and operate a 24/7 helpline to handle customer inquiries nationwide. Compliance with national security protocols remains mandatory, including lawful interception, SIM registration, and data management procedures. The policy also enforces compliance with PTA’s Device Identification Registration and Blocking System (DIRBS) to ensure the integrity of mobile device registrations and prevent the use of unregistered handsets.
Furthermore, parent MNOs are required to provide uninterrupted access and services to their MVNO partners. They cannot alter or discontinue service agreements without prior consent from PTA, ensuring stability and continuity in service delivery. Similarly, MVNOs must issue at least three months’ advance notice and obtain PTA approval before ceasing operations or changing service terms. These regulatory safeguards aim to promote fair competition, consumer protection, and consistent service quality within the market.
Once implemented, the MVNO framework is expected to open new opportunities for small and medium-scale telecom players to enter Pakistan’s mobile services sector. By enabling companies to operate without direct spectrum ownership, the initiative will support more inclusive industry growth, diversified service options, and a competitive telecom ecosystem that benefits both operators and consumers.
Follow the SPIN IDG WhatsApp Channel for updates across the Smart Pakistan Insights Network covering all of Pakistan’s technology ecosystem.