PTA Dismisses Rumors of Telecom Blackout, ATM Closure Due to LDI License Expiry
The Pakistan Telecommunication Authority (PTA) has firmly denied rumors suggesting that ATMs across the country would be shut down and telecom services blacked out due to the non-renewal of Long Distance International (LDI) licenses.
The rumors, which spread widely on social media, claimed that the expiry of LDI licenses between July and August 2024 would result in severe disruptions. The PTA clarified that these licenses, which enable companies like Worldcall, Redtone, ADG-LDI, Telecard, Dancom, Wisecomm, Circlenet, Wateen, 4B-Gentel, and Multinet to provide international telecom services, are still in effect, and operations remain uninterrupted.
Despite the impending license expirations and outstanding dues totaling approximately Rs24 billion related to the Universal Service Fund (USF), the PTA assured the public that no LDI networks have been suspended. The authority emphasized that there is currently no risk to IT or financial services, including ATM networks, countering fears raised during a recent IT standing committee meeting. Concerns that failure to renew these licenses could impact up to 50% of mobile traffic, 40% of ATM services, and a significant portion of internet traffic were dismissed by the PTA as exaggerated.
To address the license renewal issue, the Ministry of Information Technology and Telecommunications established a steering committee on July 25. The PTA has urged LDI operators to resolve their outstanding dues promptly to facilitate the smooth renewal of licenses for another 20 years, a move seen as essential to maintaining Pakistan’s telecom infrastructure’s stability.
In response to the rumors, a banking consortium overseeing Pakistan’s major e-payment gateway also labeled reports of ATM closures as baseless, advising the public to seek accurate information from their banks. The State Bank of Pakistan echoed this reassurance, confirming that the claims were unfounded.
Recent internet service disruptions across Pakistan have led telecom operators to seek Prime Minister Shehbaz Sharif’s intervention, warning that ongoing issues could cost the national economy billions of rupees. Telecom operators have called for immediate action to prevent long-term economic damage.
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