Economic and Social Benefits of Mobile Services In Pakistan
It is widely accepted that mobile phones have made a tremenedous impact on Pakistan’s economy but there have been few if any formal studies about this. Earlier this year GSM Association asked Deloitte Consultants in UK to undertake a study (covered in this post) about the economic and social benefits of mobile telecom services in Pakistan. The main thrust of the study was to find the impact of elimination of taxes on mobile subscription growth. Recently GSMA shared the full report with me. This impressive report has interesting analysis, statistics and charts based on first-hand research, interviews and data from mobile companies and other market intelligence sources. I will share the key findings in a series of posts. To start with, let me highlight some of the interesting points about the Mobile telecom sector of Pakistan:
- In 2006 the sector contributed a total of PKR312 billion to the economy, over 5% of GDP
- Mobile sector employed 210,000 Pakistanis in 2006
- Gain in productivity. PKR94 billion of value add to domestic economy in 2006
- Consumer surplus increased by PRKR42 billion between 2003-06
- Pakistan has one of the highest tax burdens on mobile services in Asia Pacific.
Upcoming posts in this series will include:
Mobile Value Chain in Pakistan, Supply and Demand side impact of Telecom on Pakistan’s Economy, Taxation of Mobile sector, How activation and sales tax impacts mobile growth and Tangible and Intangible Benefits of Mobile Telecom.
TelecomPk.Net is a leading source of information and analysis about Pakistan Telecom industry.
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