Axiata Group Berhad, a major telecommunications company in Asia, has expressed strong optimism about Bangladesh’s prospects as a high-growth market. In an exclusive interview with The Financial Express during his visit to Dhaka, Axiata Group’s chairman, Tan Sri Shahril Ridza Ridzuan, emphasized the importance of stable state policies and clear regulations to attract long-term foreign investment.
Ridzuan highlighted the necessity for consistency in regulatory and policy frameworks to create an environment conducive to sustained investment. “Stable government policies and a clear tax framework are essential for foreign investors looking for success,” Ridzuan remarked. He sees the stability of policies and regulations as a key factor in encouraging long-term investments in the country.
Labeling Bangladesh as a “fantastic” and “high-growth” market, Ridzuan drew parallels with other countries where Axiata has substantial operations, such as Malaysia, Vietnam, Cambodia, and Sri Lanka. He noted that as Bangladesh’s market matures and the government advances digital services and infrastructure, there is a noticeable shift towards a digital lifestyle among consumers.
Despite data consumption in Bangladesh currently lagging behind more mature markets like Malaysia—where usage is five to six times higher—Ridzuan is optimistic about rapid growth in the coming years. “Over the next five to ten years, we expect Bangladesh to match its neighbors like India in terms of data consumption,” he stated.
This growth projection underpins the ongoing investments by Robi, an Axiata subsidiary, in enhancing network infrastructure in Bangladesh, which has led to improved service quality, including better call stability and more competitive internet pricing. Ridzuan credits these improvements to effective collaboration with local regulators and partners.
However, Ridzuan also acknowledged challenges such as foreign-exchange fluctuations but reiterated Axiata’s commitment to reinvesting in Bangladesh. Both Axiata subsidiaries, Robi Axiata and Edotco, have been consistently reinvesting profits to enhance the market.
Discussing the future of 5G in Bangladesh, Ridzuan cautioned that immediate deployment might not be practical due to relatively low smartphone penetration, currently at 60%. He advised that a broader internet connectivity must precede major 5G investments to ensure sustainability.
Drawing from Axiata’s experience in Malaysia, where 5G coverage has reached over 70% of the population, Ridzuan is confident that Bangladesh will experience similar growth once the digital infrastructure is robustly developed. He concluded by affirming that Bangladesh is strategically advancing connectivity and digitization, laying the groundwork for future 5G deployment.
Appointed as chairman of Axiata Group Berhad on January 1, 2022, after joining the board on November 29, 2021, Ridzuan’s leadership is poised to foster further growth in Bangladesh and other emerging markets, balancing immediate financial returns with long-term strategic gains.