Pakistan Telecommunication Authority aka PTA has recently confirmed that they have decided to reduce Mobile Termination Rate. MTR or Mobile Termination Rate is a price basically that cellular operator charges another operator for receiving a call for all other types of local, long distance and international incoming calls.
Speaking of the MTR - previously these charges were Rs. 0.90 Per Minute which now has reduced to Rs. 0.80 Per Minute. The revised Off-net Call Charges in Pakistan will be implemented by the start of the year 2019.
Off-net Call rates of all network operators will be reduced and MTR will again be brought down to Rs. 0.70 Per Minute starting from Jan 1, 2020. Pakistan Telecommunication Authority has fixed these rates with the approval of all mobile operators in Pakistan.
According to a PTA consultation document the Review of Mobile Termination Rates has termed the existing MTR in Pakistan 111-198 percent higher than the other comparable countries in the last year and also advised a revised rate of Rs. 0.80 per minute for the time span of 1st Dec 2017 to 30th Nov 2018 & Rs. 0.70 Per Minute from December 2018 onwards until a cost-based study is done. These advised rates were unfortunately never implemented.
How will MTR Reduction Benefit the Consumer:
MTR will surely benefit consumer with a reduction in Off-net Call rates, increased competition in the market and the giant network operators will be insisted to improve their quality as well as services to retain user-base.
According to a survey, the new MTR is still higher. Here is a report;
“The regulator, it appears, couldn’t withstand the pressure from the larger operators as a big portion of their revenues came from MTR. (Still) something is better than nothing,” an executive of a mobile operator said on condition of anonymity“
According to ITU International Telecommunication Union, the average monthly cost of running a mobile device is quite reasonable in Pakistan as compared to other countries in the world. According to reports, An average monthly cost in Pakistan is Rs. 222.41 which is $2.21.