The Competition Commission of Pakistan (CCP) is poised to approve the merger between Pakistan Telecommunication Company Limited (PTCL) and Telenor Pakistan, subject to specific conditions aimed at ensuring fair competition and substantial investment in the telecom sector.​

Proposed Investment by e&

A key condition set by the CCP involves an investment of approximately $1 billion by the UAE-based telecom company e& (formerly Etisalat), which holds management control of PTCL. The CCP has requested detailed timelines and allocation plans for this investment to ensure it contributes effectively to the development of Pakistan’s telecommunications infrastructure.

Regulatory Oversight and Market Competition

To prevent potential market dominance and ensure healthy competition, the CCP is expected to impose measures that address concerns related to PTCL’s significant market position. This includes adherence to Section 3 of the Competition Act, which prohibits the abuse of a dominant position through practices that could restrict or distort competition.

Outstanding Financial Obligations

The merger discussions have also highlighted unresolved financial matters, notably an outstanding payment of $800 million. A prior settlement had agreed upon a payment of $640 million, which remains unpaid. The CCP emphasizes the importance of resolving these financial obligations as part of the merger approval process.

Next Steps in the Approval Process

The CCP’s decision follows extensive hearings and a comprehensive review of the merger’s potential impact on the telecom industry. The commission is utilizing its authority under Section 11 of the Competition Act to approve the merger with conditions designed to maintain market equilibrium and protect consumer interests.

As the merger progresses towards final approval, stakeholders are closely monitoring the implementation of these conditions to ensure they foster a competitive and robust telecommunications environment in Pakistan.