Officials from the Privatization Commission have confirmed that PTCL was not involved in any part of the negotiation process for its 2006 privatization, clarifying that the deal was a direct agreement between the Government of Pakistan and Etisalat Group. This clarification was shared during a session of the National Assembly Standing Committee on Information Technology and Telecommunication, which reviewed the details of the long-standing Sale Purchase Agreement signed nearly two decades ago.
The Commission representatives informed the committee that the transaction for 26 percent of PTCL’s shares was finalized exclusively through government-to-government engagement. PTCL, despite being the company in question, had no representation in the negotiation process. The officials explained that PTCL operates as a subsidiary under the administrative control of the Ministry of IT and Telecom and that specific details of the agreement may only be disclosed if permitted by the ministry, possibly during a confidential session.
This revelation prompted criticism from committee member Sadiq Memon, who pointed out the lack of coordination between the Ministry of IT and the Privatization Commission, labeling it a governance failure. He expressed concern over the exclusion of the telecom entity from a process that directly impacted its structure and operations, calling into question the transparency and procedural oversight of the deal.
Joining the session remotely via Zoom, Hatem Bamatraf, President and CEO of PTCL Group, provided an overview of the group’s current priorities, particularly in emerging technologies such as 5G and artificial intelligence. He also emphasized the broader significance of the Etisalat-PTCL relationship, noting the role it plays in strengthening ties between Pakistan and the UAE.
Despite calls to delve deeper into PTCL’s asset-related matters, the committee deferred the discussion due to the sensitive nature of the privatization agreement. It was decided that any further examination of the SPA, including implications for PTCL’s operations and asset management, should be conducted during an in-camera meeting to allow for unrestricted disclosure under confidentiality.
The privatization of PTCL in 2006 marked one of the most significant shifts in Pakistan’s telecom sector, transitioning part ownership to UAE-based Etisalat. However, the deal has remained a subject of controversy, particularly due to delays in payment installments and asset transfers that were linked to conditions within the SPA. This recent committee meeting added a new layer to the ongoing discourse, reinforcing concerns around institutional communication, policy transparency, and the long-term governance of strategic telecom infrastructure.
