Telecom Sector Revenue Jumps by Rs. 138 Billion, Broadband Subscribers & Local Manufacturing Show Significant Growth

The telecom sector in Pakistan has experienced impressive growth, as revealed by the Ministry of Information Technology (IT) and Telecom’s latest report. The sector’s revenues surged by a remarkable Rs. 138 billion over the past year, rising from Rs. 817 billion to Rs. 955 billion. This increase highlights the expanding reach and increasing demand for telecom services across the country, as digital infrastructure continues to improve and evolve.

Under the leadership of Minister of State for IT and Telecom, Shaza Fatima Khawja, the ministry also reported a significant rise in broadband subscriptions, which grew from 127.6 million to 142.3 million in the past year. This growth in broadband access signals a positive trend in the country’s adoption of high-speed internet, reflecting the telecom industry’s contribution to enhancing Pakistan’s digital economy.

In addition to broadband growth, smartphone penetration saw a noticeable increase, with active smartphones on the network rising from 59% to 64%. This upward trend underscores the expanding reliance on mobile technology in Pakistan, driven by increasing smartphone accessibility and user demand for more robust mobile internet services.

Local mobile manufacturing also showed promising development. Pakistan’s production of locally assembled mobile devices increased significantly from 21.28 million to 31.38 million units. This surge reflects the government’s efforts to promote domestic manufacturing, reducing reliance on imports while contributing to the country’s economy.

The telecom sector’s contribution to Pakistan’s national exchequer remained substantial, amounting to Rs. 341 billion. This revenue continues to demonstrate the industry’s critical role in supporting the national economy, while simultaneously improving access to communication and information services for millions of Pakistanis.

One of the most significant developments in Pakistan’s telecom infrastructure was the growth of fiber connectivity for cell sites, which expanded by 12%. The addition of 8,200 new fiber optic sites further enhances the country’s broadband and mobile network infrastructure, supporting faster and more reliable internet services for consumers and businesses alike.

On the international front, Pakistan’s internet connectivity infrastructure received a major boost with the launch of high-speed submarine cables. These included the 2Africa cable, with a massive capacity of 180Tbps, the Africa-1 cable (96Tbps), and the PEACE cable (96Tbps). These cables will enhance Pakistan’s global internet connectivity, reducing latency and supporting faster data transfer between Pakistan and the rest of the world.

The expansion of internet access also reached rural areas, with connectivity extended to 813 Mauzas, benefiting around 974,363 individuals. The laying of 2,000 kilometers of optical fiber cable (OFC) further solidifies the country’s efforts to bridge the digital divide and bring reliable internet access to underserved areas.

Pakistan’s IT sector also saw significant growth in exports. IT exports increased by 27% year-on-year, with earnings rising from USD 1,721 million in February 2024 to USD 2,177 million in February 2025. This growth further highlights Pakistan’s emerging status as a global player in the tech and IT industries.

Globally, Pakistan’s IT sector has garnered recognition, including a Tier 1 ranking in the 2024 Global Cybersecurity Index by the International Telecommunication Union (ITU). Additionally, Pakistan improved its UN E-Government Development Index ranking by 14 positions, climbing from 150th place in 2022. At Gitex Global 2024, Pakistan was also recognized as a “Tech DestinAtion,” underscoring its growing influence in the global tech landscape.

In line with this progress, the government’s smart city initiatives gained momentum, with the soft launch of the MyIslamabad App, providing access to over 140 digital services. The country also marked the launch of its second Smart Village in Sambrial, and the transition of 42 divisions and 176 departments to the e-Office system, achieving an impressive 98% adoption rate.

Furthermore, several landmark policies were introduced, including the Digital Nation Pakistan Act 2025, the National Space Policy, and the Cloud First Policy. The Telecom Appellate Tribunal Act 2024 and the establishment of special foreign currency accounts and e-visa systems were also key highlights, alongside regulations aimed at enhancing telecom standards and the harmonization of Right of Way (ROW) rates.

In conclusion, the telecom sector’s revenue growth, expanded broadband access, and advancements in infrastructure signal a promising future for Pakistan’s digital economy. With increasing local mobile manufacturing, enhanced internet connectivity, and a growing number of tech-related policies, Pakistan is well-positioned to continue its upward trajectory as a regional hub for technology and digital services.