ISLAMABAD, Dec 22: The cabinet on Wednesday approved a broadband policy to help spread affordable high speed internet access and create enabling environment for efficient business transactions, economic and social development leading to higher productivity.

"With the policy, Pakistan has leaped frog from many countries of the region even from India," Information Technology Minister Awais Ahmed Khan Leghari said while unveiling internet broadband policy here at the IT ministry.

Pakistan Telecommunication Company Limited (PTCL) will also reduce its IP bandwidth rates from $3,950 per E1 (2mega bites) per month to $2,000 per E1 per month, monthly copper rental for DSL (digital subscriber linkage) to Rs250 per month from Rs771 per month, monthly PRI (primary rate interface) rental by 50 per cent and domestic bandwidth rates by 25 per cent of the existing prices to facilitate peering services.

One time up front cost, after such drastic cuts, would be reduced to Rs2,000 from Rs8,000 while the monthly fee for internet service would be less than Rs1,000.