Islamabad, April 3, 2026 – Telecom operators, including Jazz, Zong, and Ufone, have clarified that SMS alert charges for banking transactions are determined by banks, not telecom providers, amid growing scrutiny by lawmakers.
The clarification comes after concerns raised by the Senate Standing Committee on Finance and Revenue over rising SMS alert fees charged to banking customers.
Banks Control Pricing, Not Telecom Operators
In a joint industry statement issued on Friday, telecom stakeholders explained that banks typically do not connect directly with telecom networks for SMS alerts. Instead, messages are routed through licensed third-party aggregators that manage delivery, routing, and commercial arrangements.
This means telecom operators are only one part of a larger value chain and do not control the final charges imposed on customers.
“Banks independently determine pricing structures, including monthly SMS alert fees, which are often higher than the underlying messaging costs,” industry sources noted.
Role of Aggregators in SMS Ecosystem
According to telecom companies, bulk SMS services are provided under enterprise agreements either directly or through aggregators. These intermediaries play a key role in optimizing message delivery and managing traffic between banks and telecom networks.
Operators emphasized that attributing the entire cost burden to telecom companies does not accurately reflect how the system operates.
Telecom Firms Offer Transparency
The operators said they are ready to share detailed data with the Senate committee, including transaction volumes and service rates, to demonstrate that there is no overcharging on their part.
They also highlighted that telecom services are regulated by the Pakistan Telecommunication Authority, ensuring compliance with pricing and operational standards.
Senate Committee Seeks Cost Breakdown
Earlier, the Senate Standing Committee expressed serious concern over the sharp increase in SMS alert charges and directed both banks and telecom operators to submit a detailed cost breakdown.
The move is aimed at improving transparency and ensuring that consumers are not overburdened with excessive charges for essential banking notifications.
Industry Reaffirms Support for Digital Banking
Telecom stakeholders reiterated their commitment to supporting secure digital banking services and promoting financial inclusion in Pakistan. They also pledged to continue working closely with regulators and policymakers to address concerns and improve service delivery.