Telecom sector’s revenue has steadily increased to Rs. 488.75 billion during 2017-18 showing a YoY growth of 3.96%, said Pakistan Telecommunication Authority in its annual report that is available with ProPakistani.
According to official figures, mobile phone companies generated a total of Rs. 382.41 billion in revenues during the reported period, while fixed-line operators (LL + WLL) made Rs. 77.41 billion during the time.
LDI operaters generated Rs. 22.61 billion and CVAS and BB operators made Rs. 6.67 billion during the FY 2017-18.
Telecom RevenuesÂ
| 2014-15 | 2015-16 | 2016-17 | 2017-18 | |
| Cellular | 317,016 | 345,537 | 367,530 | 382,410 |
| Fixed (LL+WLL) | 81,874 | 82,229 | 76,465 | 76,465 |
| LDI | 40,890 | 26,759 | 20,109 | 22,261 |
| CVAS + BB | 2,468 | 2,499 | 6,031 | 6,668 |
| Total | 442,248 | 457,024 | 470,135 | 488,750 |
Figures are in Million Rupees
Source: Pakistan Telecommunication AuthorityÂ
Telecom investment stood at $670.3 million during 2017-18 as compared to $644.5 million in 2016-17, registering an increase of $25.8 million. It stood at $1.815 billion in 2013-14, $1.005 billion in 2014-15, $730.9 million in 2015-16, the report added.
Pakistan attracted $568.1 million in investment from cellular mobile companies in 2017-18 against $468.1 million during the same period last year, registering an increase of $100 million.
Long Distance International (LDI) attracted investments of $14.9 million in 2017-18 as compared to $11.3 million in 2016-17 while fixed line brought $87.3 million in 2017-18 as compared to $147.1 million during the same period last year.
Net Foreign Direct Investment (FDI) summed up to $71 million during 2017-18, as inflow in the telecom sector remained $246.9 million with outflows of $174.5 million.
Telecom Investments
| 2014-15 | 2015-16 | 2016-17 | 2017-18 | |
| Cellular | 977.6 | 659.4 | 486.1 | 568.1 |
| LDI | 12.2 | 8.9 | 11.3 | 14.9 |
| Fixed | 15.5 | 62.6 | 147.1 | 87.3 |
| Total | 1,005.3 | 730.9 | 644.5 | 644.5 |
Figures are in $US Million
Source: Pakistan Telecommunication Authority
Telecom sector contribution to the national exchequer is on a continuous decline, coming in at Rs. 147.23 billion during 2017-18 as compared to Rs 161.43 billion in 2016-17 – a decline of over Rs 14 billion.
Telecom contribution to the national exchequer was Rs 243.88 billion in 2013-14, Rs 126.26 billion in 2014-15, Rs 160.17 billion in 2015-16, which has now declined even further to Rs 147.23 billion in 2017-18, revealed official documents available with Business Recorder.
The telecom sector contributed around Rs. 147.23 billion to the national exchequer in the form of General Sales Tax (GST), Withholding Tax (WHT) and PTA deposits including license fees, and spectrum fees in addition to levies by the local governments and the custom duties by Federal Board of Revenue (FBR).
Telecom Contribution to National Exchequer
| GST | PTA’s Deposits* | Others** | Total | |
| 2013 – 14 | 60.12 | 104.6 | 79.16 | 243.88 |
| 2014 – 15 | 45.77 | 7.0 | 73.49 | 126.26 |
| 2015 – 16 | 44.25 | 34.1 | 81.82 | 160.17 |
| 2016 – 17 (R) | 46.20 | 33.13 | 82.10 | 161.43 |
| 2017 – 18 (E) | 48.18 | 14.90 | 84.15 | 147.23 |
Source: Pakistan Telecommunication Authority
Figures are in Billion Rupees
R = Revised
E = Estimated
*PTA’s contributions comprise of all its receipts including Initial and Annual License Fee, Annual Radio Frequency Spectrum Fee, Annual Spectrum Administrative Fee, USF and R&D Fund Contributions, APC for USF, Numbering Charges, License Application Fee etc.
**Others include custom duties, WHT and other taxes.
Government Ko Chahyeh k Convince Kare K 488 Billion Main Se 188 Billion DAM Funds Main Jama Karwana Chahyeh :
Kyun telecom companies nay damgh charnay bhejay hain? Pagal kutay nay kaata hai? Kay louga ka paisa utha kar aik stupidity mein laga de?
Being a Pakistani Industry, should be donate to Dam :
Being a Pakistani company it’s up to them if they want to donate their money or not. It’s their money, no one can force them to donate their money.
It’s like saying you will get only 20% of your salary and have decided to donate the rest.
20% Of My Salary (Itni to Salary Bhi Nahi hai Meri K 20% Donate Kar DOGA) to Family Expense Kaise Bear Karoga : Yaha to Profit Howa hai Wo Bhi Billion Main
Doesn’t matter of it’s 10rs or 10 million or 10 billion. It’s their money. Theirs. On which they have paid tax. No one else has a right to it .
Government is losing billions only due to the stupid order of supreme court. Government should make a clear framework to tax this sector to decrease fiscal deficit.