The telecom network simplification roadmap is poised to transform the telecommunications sector in Bangladesh.
The Bangladesh Telecommunication Regulatory Commission (BTRC) has acknowledged the complexities that have arisen over the last 15 years due to superfluous network layers and an overabundance of licensing.
Consequently, a comprehensive roadmap is scheduled for introduction by April to rectify these inefficiencies. This initiative seeks to streamline the telecom industry, enhancing cost-effectiveness and accessibility for consumers.
The Imperative for Telecom Network Simplification
For an extended period, the telecom sector in Bangladesh has experienced increasing fragmentation, leading to elevated operational costs and restricted accessibility for users.
The proliferation of multiple licenses and overlapping regulatory frameworks has resulted in heightened service charges.
These redundant layers have hindered operators’ ability to operate efficiently, ultimately translating to increased costs for consumers.
Furthermore, the licensing framework has faced criticism, with some experts suggesting that its fragmentation was intentionally designed to favor rent-seekers associated with the previous administration.
To address these inefficiencies, the telecom network simplification roadmap will prioritize the restructuring of existing frameworks to promote transparency, efficiency, and affordability.
Key Highlights of the Roadmap
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Removal of Superfluous Network Layers
A primary objective of this initiative is to eliminate superfluous layers that have developed over time.
By consolidating and refining these network layers, telecom operators will be positioned to lower costs, ultimately resulting in reduced service charges for end-users.
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Revamping the Licensing Framework
The licensing framework has become increasingly intricate over the years, compelling companies to navigate numerous bureaucratic obstacles.
The new roadmap will implement a more efficient licensing process, facilitating easier operations and expansion for telecom providers without unnecessary delays.
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Improving Digital Connectivity and Device Accessibility
In conjunction with network simplification, BTRC seeks to enhance device accessibility and the availability of digital services.
This initiative will ensure that a broader segment of the population can partake in digital transformation, fostering economic growth and technological progress within the country.
Stakeholder Insights and Recommendations
During the “Conference on Recommendations by the Task Force on Re-Strategising the Economy,” a variety of stakeholders provided their perspectives on the importance of streamlining the telecom network.
Telecom Operators’ Perspective
Telecom operators highlighted the challenges posed by high connectivity costs stemming from an ineffective regulatory framework.
They assert that a roadmap for telecom network simplification would greatly enhance operational efficiency and lower costs, ultimately benefiting consumers.
Financial Technology and Startup Challenges
Operators in the financial technology sector and startups have consistently encountered obstacles related to elevated connectivity costs and a deficient financing ecosystem.
Waseem Alim, CEO of Chaldal, emphasized that businesses in the digital space require reliable and affordable telecom solutions to succeed.
The Role of Policy Adaptation
Sadia Haque, CEO of ShareTrip, proposed that rather than complicating the situation with excessive regulations, Bangladesh should consider adopting successful telecom policies from similar economies.
By implementing proven strategies, the nation can circumvent bureaucratic inefficiencies and foster a more vibrant telecom environment.
Addressing Digital Backwardness
Fahim Mashroor, a prominent member of the task force, noted that despite significant digital discourse over the past decade, Bangladesh continues to fall behind in digital adoption.
He underscored the necessity for a concerted effort towards telecom efficiency to drive economic growth through digital transformation.
The Economic and Social Impact
The roadmap for simplifying the telecom network extends beyond mere cost reduction and efficiency enhancement; it is integral to the overarching economic and social advancement of the nation.
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Promoting MSME Development
Micro, small, and medium enterprises (MSMEs) are essential to the national economy. Economist Monzur Hossain has stressed the necessity for policy measures that foster the growth of these enterprises.
An optimized telecom network will enhance connectivity, enabling MSMEs to broaden their digital footprint.
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Empowering Local Entrepreneurs
Telecom specialist Mustafa Mahmud Hussain has pointed out the significance of bolstering local entrepreneurs.
By ensuring that the updated telecom framework supports the growth of small businesses, the roadmap will empower local startups and enterprises to compete effectively on a global platform.
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Reevaluating Tax Regulations
Former Robi Axiata CEO Mahtab Uddin Ahmed has advocated for a review of government tax regulations.
Presently, essential services such as mobile communication and internet access are burdened with high direct taxes, which disproportionately impact low-income individuals.
A more equitable tax framework will enhance affordability and accessibility for all users.
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Fortifying the Startup Ecosystem
Venture capital expert Shawkat Hossain has emphasized the importance of a robust funding ecosystem for startups.
A streamlined telecom network will attract investors, stimulate technological innovation, and generate new opportunities for emerging enterprises.
Challenges and Implementation Strategies
While the roadmap for simplifying telecom networks presents numerous benefits, its successful implementation requires addressing several critical challenges.
Stakeholders currently benefiting from the existing system frequently oppose regulatory modifications.
To alleviate this opposition, the BTRC should promote open and transparent discussions among all involved parties, ensuring that the transition is smooth and beneficial for everyone.
The success of telecom network simplification is contingent upon the availability of adequate infrastructure.
It is imperative to invest in cutting-edge telecom technologies and digital infrastructure to facilitate the expected changes outlined in the roadmap.
Establishing a well-defined regulatory framework is essential to prevent any ambiguity. It is vital to create clear guidelines and compliance measures to ensure that all telecom operators adhere to the new system without confusion.
Expert Editorial Comment
The telecom network simplification roadmap represents a pivotal advancement in the evolution of Bangladesh’s telecommunications sector.
By removing superfluous network layers, refining licensing processes, and encouraging digital inclusivity, this initiative is set to create a more efficient, cost-effective, and accessible telecom environment.
As the nation progresses towards digital transformation, the roadmap will be instrumental in driving economic development, aiding micro, small, and medium enterprises (MSMEs), and improving overall connectivity.
Nevertheless, successful implementation will depend on meticulous execution and collaboration among regulatory authorities, telecom providers, and policymakers.
