The government and mobile operators have called for a broader approach to spectrum policy, saying affordable spectrum alone would not be enough to bring millions of people into Bangladesh's digital economy without cheaper smartphones, network investment and better use of infrastructure.

The call came at a roundtable titled "Spectrum for a connected Bangladesh: Enabling internet for all", organised by the Telecom and Technology Reporters' Network Bangladesh (TRNB) in Dhaka on Saturday.

The roundtable discussion took place ahead of the renewal of around 79.2 MHz of spectrum from November, making the spectrum pricing and allocation a key issue for the telecom sector.

Prime Minister's Adviser on Posts, Telecommunications and Information Technology Rehan Asif Asad said the government aimed to bring around 70 million people currently using 2G feature phones onto mobile data services within the next six to 12 months.

As nearly half of the country's mobile phones remain 2G-enabled, an overnight shift to smartphones was not possible, he said, adding that affordable handsets, easy instalment facilities and cooperation between mobile operators and manufacturers could, however, accelerate the transition.

Discussions with local manufacturers suggested that a basic Android smartphone could be produced for around Tk5,000-Tk6,000, compared with the government's initial target of Tk3,000, Rehan said.

Manufacturers had studied low-cost smartphone models in other markets, including a Reliance handset in India priced at around US$39, he added.

Commercial and government banks have started offering equated monthly instalment (EMI) facilities for mobile phone purchases following discussions with Bangladesh Bank, Rehan said.

He urged mobile operators to work with local manufacturers on co-branded handsets with voice-data bundles.

He also said raw materials for low-cost smartphones would be subject to zero taxes and duties, while the Universal Service Fund could potentially be used to support digital inclusion and public Wi-Fi.

On spectrum renewal, Rehan sought to ease operators' concerns, saying the spectrum being renewed represented only around 20 per cent of the spectrum currently assigned to the four operators.

"Please do not be tensed. This is only 20 per cent and we'll get it right, InshAllah," he said, stressing that network quality and the country's future connectivity needs should remain central to the renewal process.

Bangladesh currently has around 406 MHz of spectrum assigned to four mobile operators, while 79.2 MHz is scheduled for renewal from November 2026, with the renewal process continuing through 2034, he said.

Spectrum should be strategic resource

Rehan said spectrum should be treated as a strategic national resource rather than merely a source of government revenue.

He also called for greater spectrum and infrastructure sharing to maximise the use of existing resources.

Bangladesh's peak submarine capacity requirement currently stands at around 12.1 terabits per second and could rise to 30 terabits per second by 2030, while the government is working towards building at least 50 terabits per second of capacity, he said.

Telecom strategy adviser Md Munir Hasan called for a transparent and evidence-based framework for spectrum pricing.

He proposed combining three approaches-network economics, business economics and international benchmarking-to establish a reasonable economic value range before assessing whether the price would be sustainable for operators.

According to his presentation, Bangladesh's spectrum-cost burden stood at 15.7 per cent of recurring revenue, compared with 10.4 per cent in Asia-Pacific and 7.7 per cent globally.

Munir also questioned the analytical basis of several historical reserve prices.

He noted that 900 MHz and 1800 MHz spectrum were both priced at US$30 million per MHz in 2018, despite differences in their network characteristics. Similarly, the 2026 price of around US$19.4 million per MHz for 700 MHz spectrum was close to the US$20 million per MHz price set for 2100 MHz spectrum in 2013, he said.

BTRC seeks balance among stakeholders

BTRC Chairman Major General Md Emdad-ul Bari (Retd.) said spectrum pricing needed to balance the interests of consumers, businesses and the government, describing the relationship as a "stakeholder triangle."

Consumers primarily wanted better service at lower prices, he said.

The call-drop rate had fallen to around 1 per cent over the past two years, while mobile data prices in Bangladesh were already around one-tenth of the global average, he said, adding that affordability, however, remained a concern because of consumers' purchasing power.

The BTRC chairman also questioned whether average revenue per user (ARPU) was an appropriate measure for Bangladesh given its large population, suggesting that gross revenue could provide a better picture of operators' businesses.

He said the BTRC had proposed cutting the price of a portion of 850 MHz spectrum by around 10 per cent, as it would be allocated for only about three years instead of the usual 15 years. A further 25 per cent reduction had been proposed for areas affected by cross-border interference, he added.

Operators seek lower spectrum costs

AMTOB President and Robi CEO Ziad Shatara said the industry's profitability declined by around 10 per cent in 2025, arguing that traditional spectrum-pricing models no longer reflected the realities of the modern telecom business.

Operators now require wider channels, faster networks and larger investments, while spectrum prices in Bangladesh are around three times higher than in Vietnam, he said.

Grameenphone CEO Yasir Azman said spectrum should be viewed as a tool for economic growth rather than simply a source of government revenue.

Although data consumption has increased sharply, the price charged per megabyte has fallen substantially, putting pressure on operators' margins, he said.

Banglalink CEO Johan Buse said more affordable spectrum would improve service quality, benefit the economy and encourage further investment.

The telecom industry has seen virtually no growth over the past decade, despite each operator reinvesting roughly 10-20 per cent of annual revenue into the business, he said.

"More affordable spectrum would benefit quality, would benefit the country, and would definitely attract more investment," Buse said.

Telecom expert TIM Nurul Kabir said operators in many markets had access to at least 100 MHz each, whereas Bangladeshi operators often had to provide services with considerably less spectrum.

AMTOB Secretary-General Lt Col Mohammad Zulfikar said spectrum was only one component of operators' costs, with substantial additional investment required for network equipment and infrastructure.

Grameenphone Chief Corporate Affairs Officer Tanvir Mohammad, Banglalink Chief Corporate Officer Taimur Rahman and Robi Company Secretary Sahed Alam, also spoke at the event .

The roundtable was chaired and moderated by TRNB President S M Masuduzzaman Robin while General Secretary Faruque Hosain delivered welcome address.

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