Pakistan telecom sector earns Rs. 452 billion in FY 2015-16

Pakistan telecom sector earns Rs. 452 billion in FY 2015-16

ISLAMABAD, Oct 9 (APP): Telecom sector total revenues reached Rs. 452.8 billion during year 2015-16, slightly up from 446.2 billion reported during previous year.

Telecom sector grew by less than 2 per cent during the year, mainly due to decline in LDI revenues after dismissal of ICH, increased competition and stagnant growth in voice revenues, data for telecom sector revenues issued by Pakistan Telecommunication Authority (PTA) said.

Mobile phone operators generated a total of

Rs. 348.83 billion in revenues during 2015-16, up from

Rs. 317.02 billion during same period last year.

Long Distance International (LDI) operators made

Rs. 23 million during 2015-16, down from Rs. 80.81 million

that they had generated an year ago. This sharp decline in

LDI revenues is mainly due to withdrawal of International

Clearing House (ICH), a drive that allowed long distance

and international operators to fix international incoming

call prices at higher rates.

Local loop operators showed Rs. 76.415 million in

revenues during the reported period, almost double of

Rs. 40.765 million that had generated an year ago.

Class Value Added Services showed remarkable growth

and generated Rs. 43 million in revenues, up from just

Rs. 3.78 million revenues a year ago.

With regard to telecom sector contribution to national

exchequer, the data said GST collection by telecom operators

stood at Rs. 41.65 billion, down from 45.8 billion an year


This GST collection from telecom operators once touched

Rs. 60.1 billion in 2013-14, but has been declining ever


PTA's deposits during the report period stood at

Rs. 34 billion, up from Rs. 7 billion a year ago.

Total funds collected from telecom sector stood at

Rs. 157.85 billion, up from 126.3 billion a year ago. Major

contributor for increase in telecom's contribution towards

national exchequer include proceeds from spectrum fee that

PTA received from telecom operators.