Bangladesh to reform telecom sector amid industry support and local concerns

As Bangladesh reimagines its telecom future, a quiet power struggle is unfolding between global ambitions and local survival.

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The government of Bangladesh is introducing major reforms in the telecommunications sector through a new three-tier licensing framework, dividing licenses into international connectivity, national infrastructure, and access network services. That policy overhaul aims to modernise the sector, improve regulatory clarity, and align with global best practices.

The Association of Mobile Telecom Operators of Bangladesh (AMTOB), representing key players like Grameenphone, Robi, and Banglalink, supports the reforms and considers them a bold and necessary first step, even though the new rules will limit some of their operational freedoms, such as deploying their own fiber infrastructure and building independent towers.

Despite AMTOB’s support, mid-level domestic operators in areas such as International Gateway (IGW), International Internet Gateway (IIG), Interconnection Exchange (ICX), and Nationwide Telecommunication Transmission Network (NTTN) have expressed concerns that the policy favours foreign companies at the expense of local firms. They warn that the draft could cause significant job losses, threaten smaller businesses, and reduce government revenues.

AMTOB, however, rejects allegations of foreign favouritism and criticises intermediary infrastructure providers for poor connectivity and increased costs, attributing these issues to the fragmented regulatory environment created by the 2007 International Long Distance Telecommunication Services Policy (ILDTSP).

In response to past political favouritism in licensing, the interim government has launched investigations into corruption within the sector, with a white paper expected to increase transparency and accountability soon. AMTOB also highlighted that many countries allow mobile operators to own and manage their entire infrastructure, which leads to lower costs and better service quality, suggesting this model could guide future reforms in the telecom industry of Bangladesh.

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