Challenges Ahead for Pakistan's 5G Rollout: Infrastructure and Financial Issues
Synopsis
The rollout of 5G services in Pakistan faces significant obstacles, as highlighted by a recent report noting that structural and financial limitations may hinder the technology's actual implementation, making it feel more like a marketing ploy.
Key Takeaways
5G Rollout : Marked as a significant milestone in Pakistan.
Infrastructure Challenges : Lack of necessary physical infrastructure for 5G.
High Installation Costs : Upgrading sites to fibre is expensive.
Right-of-Way Fees : A persistent operational cost that hinders investment.
Device Compatibility : Only 1% of handsets support 5G, limiting demand.
New Delhi, April 6 (NationPress) The initiation of 5G services in select regions of Pakistan marks a significant step forward; however, the nation's financial and infrastructural challenges make the deployment feel more like a marketing narrative than a tangible reality, according to a recent report.
The analysis by Daily Mirror highlighted that Pakistan is hindered by inadequate physical infrastructure necessary for transmitting 5G signals, particularly the connections that link cell sites to the core network.
Globally, fibre-optic cables set the benchmark, capable of transmitting terabits per second with latency measured in mere milliseconds. For standalone 5G networks, a backhaul bandwidth exceeding 10 Gbps per site and round-trip times below 5 milliseconds are crucial.
Currently, only approximately 15 percent of cell sites are connected through fibre, while the remaining 85 percent depend on microwave radio links, which have fixed capacity limits, suffer in adverse weather conditions, and cannot accommodate the traffic load required for 5G, the report noted.
The spectrum auction conducted in Islamabad in early March successfully sold 480 megahertz of spectrum for $507 million, nearly tripling the usable spectrum.
However, this spectrum auction, while celebrated as a significant achievement, is merely the initial step in a long and arduous process.
Connecting a single site via fibre incurs costs ranging from $10,000 to $20,000, and with tens of thousands of sites requiring upgrades, the capital need far surpasses the half-billion dollars generated from the auction.
This issue is exacerbated by Pakistan's Right-of-Way fee structure, which charges PKR 35 to PKR 60 per metre annually, contrasting with India's one-time fee. This transforms a one-time investment into a continuous operational expense, deterring potential investment.
As a result, Pakistan ranks 76th out of 93 economies on the GSMA Fiber Development Index. The report cautioned that without reform, fibre connectivity will remain a critical weakness in the nation's 5G implementation.
Furthermore, Pakistan grapples with a demand-side challenge, with only one percent of devices in the country supporting 5G technology. Approximately 90 percent of locally assembled devices are currently limited to 2G or 3G capabilities, the report pointed out.
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Point of View
It is evident that while Pakistan's 5G launch represents a pivotal advancement, the prevailing infrastructural and financial challenges must be addressed to transform this vision into a functional reality for the country.
NationPress
12 Jul 2026
Frequently Asked Questions
What are the main challenges facing Pakistan's 5G rollout?
The primary challenges include inadequate physical infrastructure, high costs of fibre installation, and a restrictive Right-of-Way fee structure.
How does Pakistan's Right-of-Way fee structure affect 5G deployment?
The Right-of-Way fees transform a one-time capital expense into a recurring operational cost, which discourages investment in necessary infrastructure upgrades.
What percentage of devices in Pakistan currently support 5G?
Only about one percent of handsets in Pakistan are compatible with 5G technology.
How does the spectrum auction impact the 5G rollout in Pakistan?
The spectrum auction raised $507 million and expanded the usable spectrum, but it is only the first step in addressing the broader infrastructural issues.
What is the GSMA Fiber Development Index ranking of Pakistan?
Pakistan is ranked 76th out of 93 economies on the GSMA Fiber Development Index, highlighting its challenges in fiber connectivity.
