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Proposed telecom policy sparks fear among local entrepreneurs
Foreign advantage threatens telecom investors
Special Correspondent
Publish: Monday, 10 November, 2025, 4:32 PM

Bangladesh's local entrepreneurs in the telecommunications sector have raised serious concerns over the proposed “Telecom Networking and Licensing Policy 2025” drafted by the Bangladesh Telecommunication Regulatory Commission (BTRC). According to industry insiders, if the draft is implemented in its current form, it could threaten the very existence of domestic Internet Service Providers (ISPs), International Internet Gateways (IIGs), and other key telecom operators, while disproportionately favoring foreign corporate interests. Speaking at a roundtable organized by the Telecom and Technology Reporters Network Bangladesh (TRNB) on Saturday at a Dhaka hotel, local telecom entrepreneurs highlighted their fears of marginalization and existential risk under the proposed policy. The session was presided over by Rashed Mehdi, former president of TRNB and editor of Views Bangladesh, while Masuduzzaman Robin, General Secretary of TRNB, delivered the welcome speech.
Foreign Advantage, Local Disadvantage: Aminul Hakim, President of the Internet Service Providers Association of Bangladesh (ISPAB), warned that the policy could effectively pave the way for foreign operators to dominate the market. “We have repeatedly cautioned the BTRC that in the name of policy, local entrepreneurs must not be pushed to the brink of destruction. Unfortunately, the current draft appears to offer maximum advantage to three foreign operators while ignoring domestic stakeholders,” Hakim told Daily Industry.
He further emphasized that if the policy is enacted without safeguards for local operators, Internet costs at the consumer level could rise by at least 20%, and employment for millions could be jeopardized. “If domestic entrepreneurs are not protected, we will have no choice but to challenge the policy in court,” Hakim added. Return of Monopoly Concerns: KEM Tariquzzaman, CTO of Summit Communications, raised concerns over the policy potentially restoring monopolistic structures that were dismantled under the 2008 ILDTS framework. “The 2008 policy successfully broke the previous monopoly, creating space for local operators. The new draft, however, risks reverting to those monopolistic conditions, undermining competition and local growth,” Tariquzzaman said.
Sumon Ahmed Sabir, Executive Director of Fiber@Home, echoed these concerns. “While telecom reform was necessary, the current draft seems skewed toward unilateral benefits for foreign companies. 
Countries worldwide are strengthening policies to protect local entrepreneurs, yet Bangladesh appears to be moving in the opposite direction,” he noted.
Alarming Policy Drafting Practices: Policy analyst Abu Nazm Muhammad Tanvir highlighted procedural concerns regarding the policy draft. “It is unprecedented to see so many drafts within such a short period since 2008. Clause 33 suggests a five-ministerial committee will determine 'nationally important' licenses, effectively reducing the BTRC to a mere document-processing agency. This raises questions about which telecom licenses truly qualify as nationally significant,” he told Daily Industry. Tanvir also questioned the rationale for creating a new Central Lawful Interception Platform (CLIP), terming its necessity unclear.
Senior journalist Masud Kamal criticized the policymaking process, asserting that the government is pursuing its own agenda without consulting stakeholders. “Profitable sectors are being handed over to foreign players. Domestic voices are being sidelined,” Kamal said, stressing that such unilateral decisions could compromise the long-term growth of the national telecom sector.
Unequal Competition and Cross-Subsidization: Nafizul Karim Bhuiyan, General Secretary of ISPAB, questioned why the new policy treats mobile, satellite, and fiber services as separate entities when they are all part of the Internet ecosystem. “By giving foreign operators cross-cutting privileges, domestic ISPs are forced into an uneven playing field. This is neither fair nor sustainable,” he said.
Mushfiq Monzur, leader of the IG Operators Forum, compared the draft to policies from the Ershad era, noting missed opportunities to protect local interests. “Had bold measures been taken to safeguard domestic entrepreneurs, Bangladesh could have developed world-class digital infrastructure. Instead, this draft exacerbates inequality, contradicting the government's earlier commitment to address such disparities,” Monzur said.
Call for Legal and Policy Intervention: Rashed Mehdi highlighted the historical context during the discussion. “In 2007, the entire voice, bandwidth, and transmission market was controlled by a single foreign operator, with 1 Mbps bandwidth costing 10,000 BDT. The 2008 ILDTS policy broke that monopoly. Today, we are at risk of returning to those days,” Mehdi stated. He acknowledged signals of potential policy revision on social media by a special government aide but emphasized that entrepreneurs are seeking substantive changes rather than mere delays.
Aminul Hakim further stressed, “BTRC assured us that the draft would be shared for feedback before final approval. However, if the policy is approved by November 13 without genuine consultation, local operators' survival will be in peril.”
Implications for Employment and Digital Growth: Experts warn that the proposed policy could have wider repercussions beyond business survival. According to Tanvir, “A significant portion of Internet-dependent businesses, freelance workers, and start-ups rely on competitive, affordable broadband. A policy favoring foreign monopoly could increase consumer costs, reduce access, and lead to job losses across the digital ecosystem.”
Sabir added, “Local ISPs play a crucial role in innovation and connectivity. If foreign operators dominate without checks, Bangladesh risks becoming a market for consumption rather than a hub for digital entrepreneurship.” Daily Industry also spoke with industry insiders who stressed that foreign companies benefit from favorable licensing and tax structures, creating an uneven competitive environment. “The draft effectively creates a regulatory bias. This is not in line with global best practices, where local entrepreneurs receive incentives to encourage investment and innovation,” said one senior telecom executive, requesting anonymity.
Government Perspective and Need for Balanced Policy: While BTRC has yet to provide an official statement on these concerns, industry stakeholders are urging policymakers to reconsider certain clauses. Experts suggest the policy should include protective measures for local ISPs, transparent license allocation, and safeguards against foreign monopolization. Tanvir emphasized, “Policy reform is necessary, but it must balance foreign participation with domestic capacity building. Otherwise, decades of local telecom progress could be reversed.”
International Comparisons: Countries such as India, Malaysia, and South Korea have implemented telecom frameworks that prioritize domestic operators' sustainability while gradually opening markets to foreign competition. “Bangladesh must learn from these models. Protecting local investment and promoting fair competition are not mutually exclusive,” said Sabir.
Future of Bangladesh's Telecom Sector at Stake: The sentiment among local entrepreneurs is clear: without significant revision, the Telecom Networking and Licensing Policy 2025 could jeopardize domestic investment, innovation, and employment in the telecom sector. Hakim concluded, “This is about survival. The policy must reflect national interest, not just the profit motives of foreign corporations.”
The TRNB roundtable closed with a unified call for dialogue, urging the government to ensure transparency, fairness, and inclusivity in the final policy. Industry leaders stressed that time-sensitive, substantive reforms are critical to prevent the erosion of local telecom enterprises and to maintain Bangladesh's progress in digital infrastructure development.
The proposed Telecom Policy 2025 highlights the tension between foreign investment incentives and domestic entrepreneurial protection. Experts, entrepreneurs, and journalists unanimously emphasize that without robust safeguards, local ISPs and digital operators could face existential threats, potentially reversing two decades of telecom growth and innovation in Bangladesh.



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