Pakistan faces a major setback, losing Rs. 32 billion due to the failure of the 5G auction

The country is projected to encounter a shortfall of approximately Rs32 billion in non-tax revenue from 5G licenses for the fiscal year 2023-24. This deficit stems from the delay in the spectrum auction, which was expected but hindered by economic and political challenges.

For the current fiscal year, the government had earmarked Rs72.597 billion from 4G/5G licenses in the non-tax revenue category, an increase from the Rs50 billion allocated the previous year, which was later raised to Rs74 billion.

In response to inquiries from Business Recorder, the Pakistan Telecommunication Authority (PTA) clarified that fees from cellular mobile operators for license renewals are collected in installments as per the license terms.

To date, the PTA has received Rs30.94 billion out of the budgeted Rs40.90 billion for the financial year 2023-24. However, the Authority has yet to provide clarification on the remaining Rs32 billion specified in the budget documents.

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