Regulator says eSIM cost may fall to Rs1,000–1,500 as talks continue with operators; clarifies handset taxes fall under FBR

The Pakistan Telecommunication Authority (PTA) is negotiating with mobile operators to reduce the price of eSIMs by up to 50%, while warning that high taxes on mobile phones could undermine the country’s transition to 5G services.

Briefing the Senate Standing Committee on Cabinet Secretariat, PTA Chairman said the current eSIM price of around Rs2,000 could be reduced to between Rs1,000 and Rs1,500 following discussions with telecom operators.

He said consumers can transfer an eSIM to another compatible mobile device up to 10 times free of charge, adding that prices are expected to decline further as demand increases and wider adoption creates economies of scale.

The PTA chief also clarified that the telecom regulator has no role in imposing taxes on mobile phones, saying the authority lies exclusively with the Federal Board of Revenue (FBR).

He noted that Pakistan is now manufacturing around 25 million mobile phones annually, reflecting the country’s expanding local handset industry.

However, he said premium smartphones, including Samsung and Apple devices, continue to be imported and are subject to applicable customs duties and taxes.

The PTA chairman cautioned that excessive taxation on mobile phones could discourage consumers from upgrading to 5G-compatible devices, potentially slowing the adoption of next-generation mobile services once commercial 5G is launched in Pakistan.

The remarks come as Pakistan accelerates preparations for 5G deployment, with regulators and industry stakeholders seeking to expand the availability of affordable 5G-enabled smartphones while addressing policy and taxation challenges that could affect consumer uptake.