Staff Reporter :
According to the latest data from the sixth census, Bangladesh’s current population stands at approximately 17 crore, with 56 percent of the populace utilising smartphones.
However, the number of SIM cards in circulation exceeds this figure, totaling more than 19 crore. This suggests a trend where individuals are using multiple SIM cards.
The Association of Mobile Telecom Operators of Bangladesh (AMTOB) disclosed this information on Monday, based on data up to December 2023.
According to their report, Bangladesh currently boasts 19 crore, 13 lakh, and 80 thousand SIM subscribers. Among these users, 11 crore 74 lakh are utilizing mobile internet services.
Remarkably, 98.5% of the total population has access to 4G coverage. Additionally, the country has witnessed a surge in Mobile Financial Services (MFS), with a staggering 21 crore 90 lakh customers availing themselves of these services.
Furthermore, smartphones are in the hands of 56% of the total population, solidifying Bangladesh’s position as the eighth-largest mobile market globally.
The telecommunications sector plays a significant role in the nation’s economy, directly and indirectly contributing 8% to the GDP. Moreover, mobile operators contribute substantially to the government’s revenue, with taxes amounting to as high as 51% of their total income.
In the telecommunications sector, companies face substantial financial obligations to various regulatory and governmental bodies.
For every 100 Bangladeshi Taka (BDT) generated in revenue, telecom operators are required to allocate 39 BDT to the National Board of Revenue (NBR), 15 BDT to the Bangladesh Telecommunication Regulatory Commission (BTRC), 18 BDT towards ecosystem contributions, and 26 BDT for operational costs. This financial model results in an expenditure range of 84 to 105 percent, varying by company.
The Association of Mobile Telecom Operators of Bangladesh (AMTOB) Secretary General, Lt. Col. Mohammad Zulfikar (Retd.) said, “There is a potential benefit of tax relief on SIM card sales.
Eliminating taxes on SIM and corporate taxes would make smartphones and data services more affordable for consumers. This, in turn, would enhance the telecom sector’s contribution to the nation’s Gross Domestic Product (GDP).”
Concurring with the need for a revised tax framework, BTRC Chairman Engineer Mohiuddin Ahmed underscored the importance of collaborative efforts among all stakeholders within the telecom ecosystem.
He said, “There is a necessity of considering the various discussions around taxation and regulatory frameworks, even though not all perspectives align with the BTRC’s stance.”
Ahmed also called for a comprehensive review and simplification of the telecom sector’s total system to foster a more conducive environment for growth and innovation.