Digital connectivity transforming rural people in BD : ADB

Business Report :

Rural Bangladeshis who own mobile phones earn significantly more from non-farming work than those without one, showing how digital connectivity is changing livelihoods outside agriculture, according to a new study by the Asian Development Bank (ADB).

The study, titled “Mobile Phones, Off-farm Income, and Employment of Rural Women,” found that women with mobile phones earn on average Tk 188 more per month from off-farm activities a 153 percent increase compared with non-owners in 2012. For men, the earnings gap is even wider, with phone owners earning Tk 3,443 more per month, or 163 percent higher than those without phones.

Digital Access Transforming Rural Livelihoods
The sharp rise in rural earnings is linked to the rapid expansion of mobile networks, growing digital services, and the increasing urbanisation of Bangladesh’s rural economy, the ADB report said. Mobile ownership enables individuals to access market information, find jobs, communicate with clients, and run small-scale enterprises more efficiently.

The findings are based on data from the Bangladesh Integrated Household Survey (BIHS), conducted by the International Food Policy Research Institute (IFPRI).
Education Increases Digital Benefits
The study found that education plays a key role in determining how much benefit individuals gain from owning a mobile phone. Women who completed secondary education tend to earn more, as they are better equipped to use phones for productive purposes from managing microbusinesses to learning new skills online.

At the same time, poorer households were shown to benefit the most from having a mobile phone. For low-income families, a phone often becomes a vital income-generating tool, helping them run home-based businesses, offer agricultural services, or receive digital money transfers from relatives or clients.

Connectivity Bridging Rural Gaps
One of the most striking findings is that distance from urban centres did not reduce the income benefits of mobile ownership. Even in remote villages, phone users were able to earn more than non-users, suggesting that mobile technology is bridging the geographic and infrastructure gap between rural and urban areas.

“This finding suggests that mobile technology can overcome spatial barriers to information and job access, contributing to more inclusive rural development,” the study noted.
Empowering Women and Reducing Inequality
The ADB study highlights the strong and positive impact of women’s mobile phone ownership (WMPO) on income and employment in rural Bangladesh.

It concludes that digital connectivity not only supports women’s economic participation but also plays a vital role in transforming rural livelihoods.

“As digital transformation continues to reshape the economic landscape, policymakers should use these tools to address gender disparities and promote more inclusive rural development,” the report said.