Over the past 16 years, policies by the Bangladesh Telecommunication Regulatory Commission (BTRC) have been criticized for inflating internet costs and reducing speeds compared to neighboring countries. The removal of cache servers from small and medium-sized ISPs in 2021 forced longer data travel distances, increasing operational costs and slowing speeds. ISPs also face restrictions on sharing physical and active network resources, further escalating costs and limiting service expansion, especially in rural areas. Industry insiders have called for infrastructure sharing to reduce expenses and improve aesthetics in urban areas.
Additional burdens, such as a 1% revenue-sharing requirement introduced in 2023, coupled with fixed pricing regulations, have squeezed ISPs’ profit margins, particularly in rural regions, exacerbating the digital divide. Calls for policy reforms include reducing wholesale internet tariffs, eliminating intermediaries, and enabling direct ISP access to wholesale markets. The BTRC is reviewing these concerns and engaging stakeholders to address high prices and uneven regulatory practices.
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