Bangladesh seeks spectrum policy overhaul to migrate 70 million 2G users
Government and operators push for lower spectrum costs and tax-free smartphone components to bridge the digital divide.
The Bangladesh government and mobile operators are advocating for a comprehensive spectrum policy overhaul to transition approximately 70 million 2G feature phone users to mobile data services within the next 6 to 12 months. This aggressive migration target is central to a national effort to expand digital inclusion and integrate a vast segment of the population into the digital economy.
During a roundtable discussion organized by the Telecom and Technology Reporters' Network Bangladesh (TRNB), participants highlighted the severe financial hurdles facing the industry. Currently, Bangladesh's spectrum-cost burden stands at 15.7% of recurring revenue, a figure that significantly exceeds the Asia-Pacific average of 10.4% and the global average of 7.7%. To facilitate the transition, the government plans to implement zero taxes and duties on raw materials for low-cost smartphones to make handsets more affordable for the masses.
The Spectrum Challenge
The push for policy reform comes as the industry prepares for a significant renewal cycle. Approximately 79.2 MHz of spectrum—representing about 20% of the total 406 MHz currently assigned to the country's four operators—is scheduled for renewal starting in November 2026. Operators argue that the current pricing model hinders their ability to invest in the infrastructure necessary to support millions of new data users.
Banglalink CEO Johan Buse noted that more affordable spectrum would improve service quality and attract further investment into the country's telecommunications sector. This sentiment was echoed by Rehan Asif Asad, the Prime Minister's Adviser on Posts, Telecommunications and Information Technology, who stated that spectrum should be treated as a strategic national resource rather than merely a source of government revenue.
Economic Implications
The transition of 70 million people to data-enabled devices is viewed as a critical driver for national economic growth. However, the Bangladesh Telecommunication Regulatory Commission (BTRC) must balance a complex "stakeholder triangle" involving government revenue needs, the financial sustainability of mobile operators, and affordability for the end consumer.
If spectrum pricing remains prohibitively high, industry experts warn that operators may lack the capital required for the infrastructure upgrades and handset subsidies necessary to bridge the digital divide. Without these investments, the goal of moving millions of users from basic voice services to the digital economy could stall, leaving a significant portion of the population disconnected from modern financial and social services.
Path Forward
Moving forward, the focus remains on whether the government can successfully lower the cost of entry for both operators and consumers. While the plan to eliminate duties on smartphone raw materials provides a path toward cheaper hardware, the long-term success of the digital expansion depends on the BTRC's upcoming decisions regarding the 2026 spectrum renewals. Observers will be watching for a formal policy shift that prioritizes connectivity over immediate treasury gains to ensure the 2G migration target is met.