PTA ready to lift X ban upon government approval

The Resurgence of Social Media Access in Pakistan: PTA Chairman's Announcements and Future Plans

Islamabad, Pakistan – In a recent Senate Standing Committee on Cabinet Secretariat meeting, Hafeezur Rehman, the Chairman of the Pakistan Telecommunication Authority (PTA), announced that the authority is prepared to lift the ban on X (formerly known as Twitter) whenever the government requests it. This announcement marks a significant development in the ongoing discourse around social media regulation and digital infrastructure in Pakistan.

Background: The Ban on X

X has been suspended in Pakistan since February 17, 2023, due to national security concerns. Despite the ban, many users have continued to access the platform through Virtual Private Networks (VPNs). However, Rehman highlighted that the platform's compliance with Pakistani regulations is notably low, with only 7% of complaints addressed in the last three months. This low compliance rate has been a critical factor in the sustained suspension.

Impact of the Ban

According to Rehman, there has been a significant drop in the usage of X in Pakistan, with a reported 70% decrease despite the availability of VPNs. This indicates the profound impact of the ban on the platform’s user base within the country. Furthermore, Rehman mentioned that only selected VPNs will be allowed following a whitelisting process, which will limit public access to specific services.

Internet Access and Digital Infrastructure

During the meeting, Rehman provided insights into the current state of internet access in Pakistan, revealing that about 56% of the population has internet access. He also announced ambitious plans for the future, including a 5G auction scheduled for March-April next year. This development is expected to enhance the digital infrastructure and connectivity in the country.

Taxation on Social Media Earnings

Law Minister Azam Nazeer Tarar addressed the issue of taxation on social media earnings, stating that negotiations with international platforms like Facebook and Instagram are underway. "Social media platforms are used commercially worldwide, and taxation is necessary," Tarar emphasised. He highlighted ongoing discussions about setting up virtual offices in Pakistan, which would facilitate better regulation and taxation of these platforms' earnings.

The cabinet secretary also mentioned that the issue of social media advertisement taxes would be presented to the Federal Board of Revenue (FBR). This move aims to ensure that the revenue generated from social media advertisements is adequately taxed, contributing to the national economy.

Local Manufacturing of Mobile Phones

In another significant development, Rehman noted that the local manufacturing of mobile phones has commenced, with 37 companies producing approximately 20 million phones annually. This initiative is expected to boost the local economy, create jobs, and reduce the dependency on imported mobile devices.

Telecom Taxation and Cybersecurity

Rehman highlighted that Pakistan imposes a 34.50% tax on telecom customers. This high taxation rate has been a topic of discussion among stakeholders. However, on a positive note, Rehman assured that there have been no cyberattacks on telecom networks in the past two years, indicating robust cybersecurity measures in place.

Conclusion

The announcements made by PTA Chairman Hafeezur Rehman reflect a comprehensive approach to addressing the challenges and opportunities in Pakistan's digital landscape. From the potential lifting of the ban on X to the plans for a 5G auction and local manufacturing of mobile phones, these developments signify a forward-looking vision for the country's telecommunication sector. The ongoing discussions about taxation on social media earnings further underscore the government's commitment to creating a sustainable and regulated digital environment.

As Pakistan navigates these changes, the role of the PTA and other regulatory bodies will be crucial in ensuring that the benefits of digital advancements are maximized while addressing the associated challenges effectively. The coming months will be pivotal in shaping the future of internet access and digital infrastructure in the country.