In the article I’m going to tell you about Telecom business in Pakistan. Communication has become a very important aspect of our life. Telecommunication is defined as communication through telephone networks. With the effect of globalization and liberalization in the entire world, the telecom industry has become very important in the frontline running of the government’s economy. Telecom business has been explosive ever since it came into existence.
The Pakistan Telecom Authority (PTA) launched the telecom sector as the fast deregulation in that region. The telecom sector is also a fastest and efficient sector. The Pakistan Telecommunication Sector obtained the status of Industry by the government of Pakistan. Soon after its existence it brought about 14 long distance and international licenses along with 38 fixed local loop licenses and 17 wireless local loop licenses. It also awarded 5 cellular mobile licenses.
All these were awarded due to the de-regulation process. The PTA has the capacity of blocking gray traffic. This has become possible due to the technical facility that has been installed which can identify illegal telecom businesses in Pakistan.
Facilities for Handsets like IMEI were implemented to cut down handset thefts. IMEI stands for International Mobile Equipment Identity. This is a 13 digit unique code for each and every handset. By noting down this number, when your handset is lost by reporting this number one can block their mobile phones. The Pakistan Telecom Authority was the first in south Asia to launch the service called Mobile Number Portability (MNP).
In order to increase security in telecom industry, The Pakistan Telecom Authority established a Consumer Protection Directorate (CPD) to protect the rights of telecom customer. It is to be noted that more than 90% of the Pakistan population has access towards telecom services. As per the survey conducted on October 2008, the total telecom density of Pakistan which includes cellular, fixed and wireless is more than 60%, the total mobile subscribers are 90.5 million of the total population with a density of 56% and the total fixed line users are about 4.4 million.
The Pakistan government also started Pakistan Tele Communication Limited which has 90% of the shares available for the fixed line market. Since statistics speaks achievement in other words, these statistics speaks the success of telecom business in Pakistan. Adding to the success, the telecom industry of Pakistan has a share of about 2% of National Growth Development Rate (GDP).
The Foreign Direct Investment shares about 27% of the total Foreign Direct Investment obtained by the country. The revenues of the telecom industry increased by 18% and reached Rs.278 billion in the year 2007-08. The telecom sector is a major contributor to the revenues and contributed around Rs.112 billion in the year 2007-08. Finally it is necessary to be noted that the total working payphones, broadband subscribers and dial-up users in the country are 449121, 170000 and 3.7 million respectively.
By looking at these statistics we can definitely come to a conclusion that the telecom business is a great success in Pakistan and that the scope for development is still there in this developing country.