Zong to Pay Full License Fee for 3G and 4G Spectrum in One Go!
3 years ago
Zong yesterday announced that it will pay entire license fee for 3G and 4G spectrums in a single go and will not avail instalment plans that government of Pakistan had offered.
Zong, part of China Mobile, had won 3G spectrum for US 306 million dollars and 4G spectrum for US 210 million dollars during last week’s spectrum auction in Pakistan.
Dr. Fan Yunjun, Chairman and Chief Executive Officer of Zong, yesterday told me that instead of paying 50% license fee up front and then paying five equal instalments (with interest), Zong will clear its dues in a single go with-in next few days.
Zong’s decision of paying entire license fee in a single go is going to help cash-strapped budgetary requirements of the country.
Government of Pakistan had offered telecom operators to pay 50% license fee as up front and clear remaining dues in five years with markup of LIBOR plus 3% of the original payable amount.
On a related note, Telenor yesterday paid 50% of US 147.5 million dollars against 5Mhz 3G spectrum that it had won in the auction.
It won’t be out of place to mention here that PTA and Ministry of IT is giving Zong a special treatment in many ways due to its decision of clearing cent percent license fee. However, it is kept in mind that interests of other operators and the government are not compromised during this special treatment.