Government’s Smartphone Installment Plan Stalled Over Disagreements
The government’s plan to provide mobile phones on installments has hit another roadblock due to disagreements among cellular mobile operators (CMOs). While the Ministry of Information Technology (IT) has finalized the policy and shared it with operators, a major dispute remains over the blocking of SIM cards belonging to defaulters.
Disagreement Over SIM Blocking Policy
Ministry officials told ProPakistani that all four CMOs have been urged to reach a consensus before further action can be taken. The main challenge in implementing the policy is the lack of agreement on how to handle defaulters.
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- Proposed solution: Blocking SIM cards of defaulters.
- Alternative not considered: Blocking the CNIC of defaulters.
- Key issue: Without an agreement from all stakeholders, the policy remains stalled.
Policy Development and Revisions
The smartphone financing policy was originally drafted in November 2023 and sent to the cabinet division for approval in early 2024. However, it was referred back for legal vetting by the Ministry of Law.
After the general elections, the revised policy was presented to IT Minister Shaza Fatima, and a new draft was prepared. The draft was shared with banks, fintech companies, and CMOs.
Centralized Blocking System Remains a Sticking Point
While some mobile operators support blocking SIM cards, others oppose a centralized system that would block all SIMs registered under a defaulter’s CNIC. The policy’s approval process requires full consensus among CMOs before being submitted to the federal cabinet. If approved, a policy directive will be issued, allowing the IT Ministry and the Pakistan Telecommunication Authority (PTA) to begin implementation.
Ensuring Compliance and Preventing Misuse
The installment-based mobile phone initiative aims to expand digital access for financially constrained citizens, allowing them to acquire smartphones on interest-free installment plans. However, a major challenge is ensuring compliance with payments while preventing misuse of the scheme.
- Without an effective penalty system, the program’s sustainability could be at risk.
- The PTA is expected to play a central role in enforcing the policy once approved.
DIRBS System for Enforcement
If finalized, the Device Identification Registration and Blocking System (DIRBS) will be used to block mobile phones of defaulters, marking a shift from past enforcement methods, which primarily relied on mobile operators.
However, without full consensus among CMOs, the fate of the smartphone financing policy remains uncertain.
