Industry Updates

'SAMENA Daily' - News

Telcos support Smart Bangladesh vision with digital innovation

As Bangladesh is growing towards a trillion-dollar economy, the telecommunications sector has emerged as a cornerstone, propelling the nation into a digitally advanced future. The global impact of mobile technologies on GDP has been undeniable, contributing over 5% to worldwide GDP and amounting to a staggering $5.2 trillion in economic value added.

In Bangladesh, this industry takes centre stage, playing a multifaceted role in driving economic growth and creating a digital transformation that goes beyond traditional boundaries.

Research by the Global System for Mobile Communications Association (GSMA) underscores the significant contribution of the telecommunications sector in Bangladesh, exceeding $13 billion to the national GDP and creating more than 800,000 jobs.

A third of these jobs directly contribute within the telecom ecosystem, with the rest stemming from a ripple effect on sectors providing inputs for mobile goods and services.

The key to understanding the transformative power of mobile technologies lies in their role in enabling the digital economy. With an investment of around Tk150,000 crore, mobile operators in Bangladesh are at the forefront of providing innovative digital services to customers.

These services span various essential sectors such as e-commerce, e-education, e-health, and e-entertainment. It is more than just connecting people; it is about creating a digital ecosystem that improves lives and adds significant economic value to the country.

The essential role of mobile operators in accelerating digital inclusion cannot be overstated. They provide fast and reliable connectivity, particularly in rural areas where other options are limited, supporting government initiatives aimed at increasing digital inclusion. In a country with one of the fastest-growing economies globally, the impact of mobile technologies and services on GDP is significant, both directly and indirectly.

The remarkable expansion of internet subscribers, which surged to 131.44 million by November 2023, highlights the substantial impact of the industry. Among them, 118.96 million individuals accessed the internet through mobile services, emphasising the extensive reach of telecom operators.

These operators, having direct access to citizens across the nation, are well-positioned to lead the way in providing services within their indigenous digital ecosystems. We are seeing a number of super-app and entertainment app initiatives, underscoring the industry's dedication to fostering digital inclusion.

Beyond telecom's innovative digital services, the industry's role in the Mobile Financial Services (MFS) sector is commendable, boasting around 200 million accounts across all providers. The industry's contribution extends to encouraging widespread MFS acceptance, not only through connectivity solutions but also by introducing digital resources and accelerating digital literacy in underserved communities.

Despite the robust growth of the mobile industry, it grapples with formidable challenges hindering its full potential. The pace of expansion in the mobile sector trails behind the overall economic growth, with a myriad of issues, ranging from elevated taxation to the high cost of mobile devices, acting as impediments to its fiscal ascent.

Levying additional charges on phone users serves as a deterrent to the sector's expansive outreach, while the unaffordability of devices restricts inclusive participation. The lack of digital literacy further complicates matters, and the often-overlooked aspect of unequal access to mobile phones underscores the intricate landscape the mobile sector navigates.

To unleash the sector's potential for the digital economy, a critical need emerges for the rationalisation of taxation. By doing so, the mobile sector could transform into a powerhouse, making more profound contributions to the nation's economic growth.

Aligned with the government's Smart Bangladesh vision, the telecom industry aims to transform the country into a digital and knowledge-based society, as emphasised in the 8th Five-Year Plan (FYP) from 2020 to 2025. The ongoing efforts underscore the industry's commitment to "Promoting Prosperity and Fostering Inclusiveness," turning Vision 2041 into a tangible reality.

The telecom sector's journey in Bangladesh signifies resilience, adaptability, and dedication to digital inclusion. As the industry navigates complexities and dials into innovative solutions, the prospect of an inclusive digital future eagerly awaits the next ring. With resolute determination, the telecom sector boldly ventures forth, contributing to the realisation of a digitally empowered Smart Bangladesh for all.



Source: https://www.tbsnews.net/supplement/telcos-support-smart-bangladesh-vision-digital-innovation-785086

ATTENTION