Page 76 - SAMENA Trends - January-February 2025

REGIONAL & MEMBERS UPDATES SAMENA TRENDS

PTCL Sets Prerequisites for Participation in 5G Auction

President and Group Chief Executive Officer (CEO) of Pakistan
Telecommunication Company Limited (PTCL), Hatem Bamatraf
has set prerequisites including extended payment term,
reasonable reserve price as well as moving to rupee-based price
for participation in 5G spectrum auction, which the government is
planning latest by May 2025. “We will participate in the 5G spectrum
auction. It all depends on the conditions of the auction. If the terms
or conditions of the auction are, somehow, make sense for us
from business point of view then definitely, we would like to be
the most innovative company in this market and we will jump into
the new technologies as long as it makes [a] business case,” said
Bamatraf, while talking to Business Recorder. He said that terms
and conditions for 5G spectrum auction were yet to be announced,
however, some good and favorable terms were expected to
make it a success. During their engagement with the Ministry of warned that high spectrum prices will result in fewer players, and
Information Technology, other government stakeholders as well levels of competition will decline, potentially leading to lower levels
as the National Economic Research Associates Inc (NERA) – a of innovation, high prices and other poor outcomes for consumers.
US-based international consultancy firm hired for the spectrum It is critical to emphasize that even from the perspective of net
auction, they have conveyed their concerns and message in clear flows to government revenue, it is highly likely that lower spectrum
words, he added. Talking about the impact of 5G in the country, prices will lead to long-term higher government revenues, not lower
the CEO said it would help the digitalization of Pakistan by ones, said MD NERA in a presentation. Dollar-pegged prices; IMT
connecting people with robust purpose-built technology opening spectrum prices are tied to the US dollar, and with the devaluation
up opportunities for industries as well as individuals. The NERA of the Pakistani rupee, the cost for operates has skyrocketed, since
has also backed telecom operators’ demands, including extended the last auction in 2021, where $1 equivalent Rs163, the exchange
payment term, reasonable reserve price as well as moving to rupee- rates has risen to Rs278, a 70 percent increase solely owing to
based price for successful 5G auction in the country. The NERA currency devaluation.

BTRC Initiates Telecom Licensing Reforms for Better Services

The Bangladesh Telecommunication Regulatory Commission enhance fixed broadband services. The commission also aims to
(BTRC) has launched efforts to reform the country's telecom adopt green technologies and promote active sharing to support
licensing regime to align with contemporary demands. A digital service expansion. He mentioned plans to eliminate
committee, led by BTRC Commissioner Brig Gen (retd) Iqbal unnecessary licenses and terminate licenses that hinder healthy
Ahmed, has already held three meetings to restructure the competition. The proposed framework will address gaps in clear
network and licensing roadmap. BTRC Chairman Maj Gen (retd) and sustainable policies, which have deterred investor interest, he
Md Emdad Ul Bari shared this information at a press conference said. Regarding 5G, Bari said that consultations are ongoing, and
at the commission's office in Dhaka. "Currently, we observe that preparations are underway to auction the 700 MHz band spectrum
many licenses are functioning as intermediaries, increasing costs by June. However, no definitive timeline for the 5G rollout has
instead of promoting cost efficiency. We intend to review this and been established. The BTRC will also advise the government on
strive for a licensing framework that is streamlined, effective, and developing policies that position telecom as a key enabler of digital
efficient," he said. Bari said that the reforms aim to safeguard development, focusing on simplified, efficient, and cost-effective
consumer interests rather than protect business entities. The networks to meet growing digital demands, he said. He said VAT
initiative seeks to foster healthy competition and collaboration and taxes are the government's concern, not the BTRC's. However,
among stakeholders, including consumers, businesses, and the VAT and taxes should be reduced as much as possible. Internet
government. Addressing challenges such as transitioning from services need to be more accessible. Regarding attracting foreign
existing licenses, establishing sustainable investment policies, investment in the telecommunication and internet sector, Bari
and creating effective regulations, the BTRC plans to submit its said that to attract foreign investment, the country must establish
reform proposals to the government by March. The chairman investment-friendly regulations. Companies like Amazon, Google,
acknowledged the need for consumer-centric policies to ensure and Meta have emphasized that liability for social media posts
sustainability and facilitate, rather than regulate, telecom should rest with the individual who made the post, not the platform
companies. He said the committee would streamline complex itself. "We will communicate this perspective to the government,"
network structures, reduce pressure on spectrum usage, and he added.

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