ISLAMABAD: In a move to expand the country’s digital landscape, the Pakistan Telecommunication Authority (PTA) has launched the MVNO Policy Framework. The policy allows virtual operators to provide nationwide mobile services by leveraging existing networks rather than owning independent spectrum.
Under the policy framework, approved by the federal cabinet, MVNOs will be able to provide mobile communication and next-generation services across the country by using the infrastructure of existing telecom operators, referred to as licensed mobile network operators (MNOs). The initial fee for a nationwide MVNO licence has been set at $140,000, or its equivalent in Pakistani rupees, to be paid upfront. The dollar rate will be calculated at the interbank selling rate prevailing on the day preceding the date of payment.
According to the framework, an MVNO is defined as an operator that does not hold any frequency spectrum assignment but provides mobile services to its own customers through commercial agreements with licensed MNOs, after obtaining a licence from the PTA. The policy enables MVNOs to offer nationwide mobile communication services, including next-generation services, subject to licensing conditions set by the regulator. MVNOs will be allowed to enter into commercial agreements with one or more MNOs, while MNOs may similarly partner with multiple MVNOs.
PTA notifies MVNO policy framework; licence fee set at $140,000
The framework allows MVNOs to operate under their own brand names, adopt independent marketing strategies and offer customised services in addition to those provided by the host MNO. MVNOs may install their own customer care, billing and service platforms, while using numbering resources and spectrum assigned to the parent MNO. However, the policy clearly states that MVNOs will not be eligible for any direct spectrum assignment, with spectrum ownership remaining exclusively with licensed MNOs.
The move is expected to increase competition, encourage service innovation and improve consumer choice in Pakistan’s telecom market, while enabling existing operators to monetise excess network capacity through wholesale arrangements. Under the framework, MVNOs will be required to comply with safeguards implemented by the PTA, including the DIRBS (Device Identification, Registration and Blocking System) and rules related to lost or stolen devices. MVNOs will be allowed to use only the parent MNO’s roaming and interconnect agreements with other operators.
MVNOs will also be required to pay Universal Service Fund (USF) and research and development contributions, and to comply with PTA’s quality of service standards and security guidelines, similar to licensed telecom operators.