Etisalat weighs future in Pakistan’s telco sector, PTCL exit not ruled out

A major telecom investor from the UAE, Etisalat, is reportedly reviewing its investment portfolio, including its stake in Pakistan Telecommunication Company Limited (PTCL), raising the possibility of a future exit from Pakistan’s telecom sector.

According to an article published in Dawn News on Thursday, the review is still in its early stages and no final decision has been made. Officials suggest the move is part of a broader reassessment by Gulf-based investors, driven by global economic uncertainty, shifting geopolitical dynamics, and evolving capital allocation strategies, rather than concerns specific to Pakistan.

PTCL, however, has said it is unaware of any plans by its shareholders to alter their investment. The company recently approved its long-term business strategy, signaling continuity in operations despite the reported review. Currently, the government of Pakistan retains a majority stake in PTCL, while Etisalat holds management control through a 26 per cent share.

The telecom operator has faced financial challenges in recent years, although it recently returned to profitability following the acquisition of Telenor Pakistan. Meanwhile, broader economic developments, including financial support from Gulf countries and ongoing engagement with the International Monetary Fund (IMF), continue to shape Pakistan’s investment climate.

Analysts note that even if UAE investors adjust their exposure, Pakistan may still attract alternative capital from regional partners such as Saudi Arabia and Qatar. Officials noted that any such review reflects standard global investment practices focused on returns and risk management, rather than a shift away from Pakistan specifically.

The development comes amid a wider recalibration of UAE economic strategy, with officials highlighting a growing focus on financial stability, domestic priorities, and what they describe as “strategic autonomy” in global investments.