Pakistan, May 25 -- A new report has highlighted that heavy taxation on Pakistan's mobile sector is slowing digital growth, limiting internet access and restricting broader economic development across the country. The study warned that high service costs and layered taxes are creating barriers for both consumers and telecom operators in expanding digital connectivity.

According to research by Frontier Economics, overall taxes on mobile services in Pakistan stand at around 37 percent, making it one of the highest tax burdens globally. This includes 19.5 percent general sales tax, 15 percent advance income tax collected from users, and an additional 2.5 percent regulatory duty on mobile services.

Furthermore, the report stated that mobile...