PTA Proposes Ending Prepaid Balance Expiry Rule

The Pakistan Telecommunication Authority (PTA) has proposed eliminating the expiry of unused prepaid mobile balances, signalling a major consumer-protection shift in Pakistan’s telecom regulatory framework.

Through a consultation paper, the regulator has invited public and industry feedback until March 16, 2026. The proposal carries significant implications for Pakistan’s prepaid-heavy telecom market, where approximately 97% of subscribers use prepaid services.

Currently, Cellular Mobile Operators (CMOs) apply validity periods — typically ranging from 30 to 365 days — after which unused balances may lapse. PTA has acknowledged that this practice has triggered consumer complaints, particularly from low-usage customers, overseas Pakistanis, secondary SIM holders, and temporarily inactive users.

The authority has taken the position that prepaid credit constitutes advance payment by subscribers and should legally be treated as consumer-owned funds rather than operator revenue.

Under the proposed regulatory framework:

Prepaid balances would remain valid for the entire active lifecycle of the SIM, as defined under PTA’s SIM sale and activation SOPs.

Balances would be linked to the subscriber’s CNIC.

In case of SIM deactivation, and where no other SIM exists on the same network under the same CNIC, remaining funds may either:

Be restored upon issuance of a new SIM on that network; or

Be refunded via bank transfer or mobile wallet, subject to CNIC verification and KYC compliance requirements.

The consultation signals potential restructuring of telecom revenue recognition practices, consumer rights protections, and compliance obligations for operators.

Stakeholders have been invited to submit comments before final regulatory determination.