Secret

Report No.R001

Slow pace of
ICT
In Bangladesh
NOVEMBER 10, 2015

Wanna Connect whole

world???

Report number: R001

November 10, 2015

A Report
On

Slow pace

ICT

Bangladesh
(Complications & solutions)

Prepared for
Nishat Sultana
Assistant Professor,
Department of Humanities
BUET
Tofail Hossain
Lecturer
Department of Humanities

BUET

Prepared By
Group-03, CSE-B2
Roll (1405109-1405115)
MD.Moinul Hossain
Shoumita Ghosh
Ananna Rahman
Akib Jawad
Md. Saiful Alam
Niloy Kormokar

@Members of group-4, CSE-B2, Roll (1405109-1405115)

FORWARDING LETTER
To
Mr. Tofail Hossain
&
Mrs. Nishat Sultana
Department of Humanities,
Bangladesh University of Engineering & Technology

Dear sir &madam,

It is an honor to us that now we are going to present our report on Slow pace of ICT in
Bangladesh: Reasons behind. We are very grateful to you for giving us this opportunity.
Meanwhile preparing the report we came to know many interesting topic and enhanced
our knowledge over this topic.
Here we tried our best to submit the gist of this topic and acquaint you with it. But
limitation of time and informative resources restrained us to make it as illustrative as it
should be. Yet we think this report will clarify the readers concept as far as possible.
Thanking you,
Md. Moinul Hossain (1405109)
Soumita Ghosh (1405110)
Ananna Rahman (1405111)
Akib Jawad Nafis (1405112)
Saiful Alam (1405113)
Niloy Karmakar (1405114)
Riad Ashraf (1405115)

Table of Contents
Topics

Page

List of illustrations

06

Summary

07

Introduction

08

Scope of the report

08

Research method

08

What is ICT?

09

History & development of the idea

09

Effects of idea life

12

Others initiative to ICT

13

ICT in Bangladesh

14

Growth of ICT infrastructure

18

Domestic ICT industry & software market

19

Growth of software export

20

Cause of slow pace in ICT

23

Conclusions

24

Recommendations

25

Appendix & Glossary

30

Reference list

31

Bibliography

32

List of Illustrations
Table/Images

Page

Cross country analysis of Computer and Internet Penetration

10

The following is a list of OECD countries by share of ICT sector

11

in total value added in 2013

Average IT budget

13

Growth of PC and internet users (1995-2005)

16

PC availability

17

PC per 100 people

17

ICT firms in Bangladesh

19

ICT business & Government environment

20

No. of ICT professionals

23

Effective partnership

24

Growth effects of ICT

25

Internet penetration

26

Broadband market development

27

SUMMARY
The term ICT is the abbreviation of Information ,Communication and
Technology which means any communication device or application,
encompassing: radio, television, cellular phones, computer and network
hardware and software, satellite systems and so on. The aspects of ICT
with respect to the whole world is getting larger and larger day by day
eventually. But the main fact is, the pace of ICT in Bangladesh is
getting lower for various reasons. Poverty, unconsciousness, corruption,
and mainly illiteracy are the main reasons among them. The huge rural
people, who covers the maximum manpower of our country arent able
to co-operate with the change of ICT as they even dont know how to
read and write. But, hopefully illiteracy is getting imperceptible day
after day. So, we if this problem can be solved, we can hope for bigger
change of the pace of ICT in near future.

1. Introduction
More than half a decade Digital Bangladesh has become the new mantra of development.
The widespread use of the term clearly signals the government's emphasis on the
development of the information and communication technology. Accordingly, the
government has formed a separate ministry in 2011 and has employed huge amount of
resources in several projects. Still its not developing how it should have.

1.1 Scope of the report:

In this report the slow pace of ICT in Bangladesh is analyzed deeply researched for a long
term solutions about it. Report starts with detail information about ICT, then forwarding to
its slow pace in comparison with other countries. Reasons behind and solution of it.

1.2 Methods of research:

In order to answer the research question a literature study, scrolling statistics and a survey
were conducted. BASIS has observed that there already is relatively rich quantitative
information on the ICT sector in Bangladesh. Local reports and online interviews with
Bangladeshi ICT industry participants and experts have been taken. Newspapers and blogs
about ICT departments of Bangladesh are also searched for answering our research question.

http://www.dhakatribune.com/bangladesh/2014/nov/18/kamal-progress-towards-digital-bangladeshsluggish
BASIS (date unknown), Bangladesh Software and IT Service Industry recent Trends & Dynamics,

<

http://www.basis.org.bd/resource/About_BASIS_&_Bangladesh_Software_and_ITS%20_Industry.pdf>,
last visited: 30 December 2013

2. What is ICT?
ICT (information and communications technology) is an umbrella term that includes any
communication device or application, encompassing: television, cellular phones,
computer and network hardware and software, satellite systems and so on as well as the
various services and applications associated with them, such as videoconferencing and
distance learning.ICTs are often spoken of in a particular context, such as ICTs in education,
health care or libraries. This term is more common outside of the the USA.
The term ICT is also used to refer to the convergence of audio-visual and telephone
networks with computer networks through a single baling or link system. There are large
economic incentives to merge the telephone network with the computer network system
using single unified system of cabling, signal distribution. According to the European
commission, the necessity of ICTs lies less in the technology itself than its ability to create
greater access to information and communication in underserved populations. Internationally,
the United Nations actively promotes ICTs for development as a means of bridging the
digital device.

2.1 History and development of the idea in terms of world view

Academic researchers used the term Information and Communication Technology in
1980. ICT has become popular when it was used in a report to the UK government in 1997
and in the revised National curriculum for England. Converging technologies that exemplify
ICT include the merging of audiovisual, telephone and
Computer networks through a common cabling system. Internet service providers (ISP)
commonly provide Internet, phone and television services to homes and businesses through
a single optical cable. The elimination of the telephone networks has provided huge
economic incentives to implement this convergence, which eliminates many of the costs
associated with cabling, signal distribution, user installation, servicing and maintenance
costs. The Organizations Interpectoral Platform for ICT in education focuses on these
issues through the joint work of three of its sectors: Communication & Information,
Education and Science.

A Cross-Country Analysis of Computer and Internet Penetration

Country

Region

Computers Internet Population

Users
per 100
(000s)
per 100

United
States

North America

62.50

50.15

284,797

Sweden

Europe &Central 56.12

Asia

51.63

8,910

Australia

East Asia &

Pacific

51.58

37.14

19,387

Norway

Europe &Central 50.80

Asia

46.38

4,528

Japan

East Asia &

Pacific

38.42

127,291

Russia

Europe &Central 4.97

Asia

2.93

146,760

China

East Asia &

Pacific

1.90

2.57

1,312,710

India

South Asia

0.58

0.68

1,027,015

Pakistan

South Asia

0.41

0.34

144,971

Bangladesh South Asia

0.19

0.14

131,175

35.82

Computer and Internet Penetration Rates for Highest, Lowest and Largest Countries.
International Telecommunications Union (2001)

The ICT Development Index ranks and compares the level of ICT use and access across the
various countries around the world. In 2014 ITU (International Communications Union)
released the latest rankings of the IDI, with Denmark attaining the top spot, followed by
South Korea. The top 30 countries in the rankings include most high-income countries
where quality of life is higher than average, which includes countries from Europe and other
regions such as "Australia, Bahrain, Canada, Japan, Macao (China), New Zealand,
Singapore and the United States; almost all countries surveyed improved their IDI ranking
this year.

10

The following is a list of OECD countries by share of ICT sector in total value added in
2013
Country
South Africa
Japan
Ireland
Sweden
Hungary
United State
Czech Republic
Finland
United Kingdom
Estonia
Slovakia
Germany
Luxembourg
Netherlands
Switzerland
France
Slovenia
Denmark
Spain
Canada
Italy
Belgium
Austria
Portugal
Poland
Norway
Greece
Iceland
Mexico

ICT sector in%

11.70
7.02
6.99
6.82
6.09
5.89
5.74
5.6
5.53
5.53
4.87
4.84
4.54
4.44
4.63
4.33
4.26
4.06
4.00
3.86
3.72
3.72
3.56
3.43
3.33
3.32
3.31
3.87
3.47

in the past few decades, information and communication technologies have provided society
with a vast array of new communication capabilities. For example, people can communicate
in real time with others in different countries using technologies such as instant messaging,
Voice over IP (VoIP), and video-conferencing. Social networking websites
like Facebook allow users from all over the world to remain in contact and communicate on
a regular basis.

11

Modern information and communication technologies have created a "global village," in

which people can communicate with others across the world as if they were living next door.
For this reason, ICT is often studied in the context of how modern communication
technologies affect society.

2.2 Effects and importance of it in life

Public administration is a key aspect of civil society and it includes a range of services to
citizens and industry. It provides various functions that enhance the social, economic and
political developments of the citizenry. Most importantly, it provides public information that
is useful to the community at large. ICTs facilitate these public administration activities. For
instance, e-Government, a concept that defines a situation where government activities and
public information can be made available using ICTs. These kiosks are called the Public
Information Terminals and there are 300 public information terminals (PIT) installed at post
offices around the country. The South African Minister of Communication notes that:
The Public Information Terminal, or PIT, entails the installation of Internet kiosks in
post offices around the country. The kiosks will provide instant access to the Internet, email, government and educational services as well as e-commerce. The link to government
websites, for example, will provide information on aspects of regulation, legislation,
welfare, support, grants and rebates. Interactive directories of various tertiary institutions
will also be available (Matsepe-Casaburri, 2000).
The PIT is a practical example of how ICT can be used in public administration.
Urban and Rural Development ICT applications are useful in facilitating development
programs in many countries. Mansell &Wehn (1998: 83) note that:
"diverse current and historical data sets on health, education, water supplies, sanitation,
and population growth and movement can be captured, collated, manipulated, and
presented" They also note that "
Economic development can be fostered by tele-working and tele-services in some of the
developing countries" (ibid.). Mobile telephony can also help rural entrepreneurs in keeping
in touch with their market outside their communities.
For many people with physical disabilities, ICTs can be extremely useful in providing access
to communication, education and open up opportunities for them. The use of Braille
keyboards and printers can help alleviate some common literacy and numeracy problems for

12

visually impaired or blind people. For instance, the Short Message Service (SMS) can be
used to send and receive messaged by the hearing impaired, the voice activated dialing
service can be used by visually impaired.
The education sector is arguably one major area that ICTs are playing remarkable a role.
These technologies help in facilitating learn ship and exchange of educational materials.
ICTs are helping library professionals store and manage academic information.
Commerce Electronic commerce or e-commerce is the use of telecommunications or the
Internet to carry out business of any type. Common examples of e-commerce are businessto-business e-commerce, online shopping, online banking, online stock trading etc.
Electronic transaction of business activities has 'redefined' the concepts of 'market', 'seller'
and 'buyers', as they all converge now on the electronic space. Billions of dollars worth of
transactions are completed on the Internet.
The use of ICTs has permeated the travel and tourism industry. ICTs in this industry consist
of various components that include computerized reservation systems, teleconferencing,
video, video brochures, management information systems, airline electronic information
systems, electronic funds transfer, digital telephone networks, smart cards, mobile
communication, e-mail, and Internet (Mansell & When, 1998). These various
communication technologies are being used in all sectors travel and tourism industry and
related sectors.

2.3 Others initiative in ICT

IT word spent money which is almost us$3.5 trillion and the growth is 6% per year. It
becomes double every 15 years.IT budget of US federal government is almost $82 billion in
year 2014.The costs have grown up 50% since 2002, putting a strain on it budgets.75% is
the recurrent cost of currant companies. New initiatives use 25% for technology
development.
The average IT budget is given below:
Personnel costs
Software costs
Hardware costs
External service providers

31%
29%
26%
14%

13

3. ICT in Bangladesh
ICT is the backbone of any digital initiative. ICT covers the vast area of information
technology, communication technology and the telecommunication technology. ICT is also a
combination of physical backbone and intellect. Computer systems, network machineries,
software, wire and wireless connectivity systems, broadcast hardware and many other
hardware and accessories are the physical backbone.
For more than half a decade Digital Bangladesh has become the new mantra of
development. The widespread use of the term clearly indicates the government's emphasis
on the development of the information and communication technology. Accordingly, the
government has formed a separate ministry in 2011 and has employed huge amount of
resources in several projects.
The government has targeted the educational institutions first. They came up with an
innovative idea of turning regular classrooms into multimedia classrooms. After several
experiments, it has now created a revolution in Bangladesh's education system. More than
20,000 schools all over the country have been provided with laptop and multimedia
projectors and teachers of these schools have been trained to develop multimedia content for
their students.
In cooperation with the project, the education ministry has digitized textbooks and has
published on the website of the National Curriculum and Textbook Board for free download.
In cooperation with BRAC, the government is also working to make textbook into movies,
which will be helpful to make the learning process more fun.

Students of many remote areas of the country are now beneficiaries of the new multimedia
contents. But introducing our youth to the technology is only the beginning. So the
government is running a country-wide program to train youth to get jobs all over the world.
Officially called Learning and Earning Development Project, it focuses mainly on college
and university students. Under this project, the ministry is training the youth about the ins
and outs of outsourcing jobs. Md. Nazrul Islam Khan, the secretary of the ministry says, In

14

the first phase we have trained 15,000 youngsters in district level and in 2012, these trained
youngsters have earned USD 20 million by working in different kinds of outsourcing
projects and in 2013 it has increased up to USD 50 million.
Training youngsters for income generating activities is a remarkable initiative for this
country of ever increasing unemployment. Md. Tobarak Hosen, a student of Pabna Edward
College, says, In Pabna there is hardly any job for new graduates. Without this training my
future would be as bleak as that of many other educated but unemployed graduates. Now I
don't have to look for work as I have a constant supply of work online.
One of the significant additions to this project is a program for women that enables them to
get outsourcing jobs. It trains young women of different districts and Upazilas in skills
needed for outsourcing. Md. Nazrul Islam Khan, the guide of all these programs, says, We
have emphasized on outsourcing activities because besides earning foreign currency, it's also
a knowledge based approach. By engaging in them, our youth are also developing their skills
and capacity as global citizens. Soon we will reach every Union with our training programs
and modify each of our Union Information Centre as Outsourcing Centers.
Union Information and Service Centre (UISC) is also a significant milestone for the
government's goal to achieve digital Bangladesh. These UISCs are one stop service outlets
operating in 4547 Union Parishads, the lowest tier of local government. At these centers, a
citizen can get most government services like public exam results, downloading government
forms, online application and university admission, population census data, livelihood or
employment information and also photo and mobile phone services. In this era of science it
is really a great blessing for us as the people of a developing country of the third world. It
has become possible only for the tremendous development in ICT sector.
Students are being trained to develop mobile phone applications. This is the most effective
way to provide many services and opportunities to the people of remotest parts of the
country. Nowadays many students of computer science of various universities and
polytechnic institutes are getting engaged in developing phone apps. They are using
different programming languages such as C, C++, Java, etc. in developing mobile phone
apps.

15

A National Data Centre is also going to be established to host all the government websites
and administrative offices and to connect the offices with each other. An independent
national certifying authority has been formed to digitalize official signatures and other
information. To prevent this huge virtual establishment from intruders and hackers, the
government has also formed a strong army of cyber security experts.
Higher productivity has been achieved in different economical sectors with the use of ICTs.
Bangladesh is an agricultural country. Agriculture of our country is being greatly influenced
by the development of ICT. Computer Literacy is ensured in almost all sectors of the
country.
ICT plays important role in preventing disasters. Effective climate change management
programs can be ensured through the use of ICT. Many steps can be taken to help the
disaster affected people with the help of technology.
Our law enforcing agencies now-a-days are also utilizing technology like CC TV to identify
the criminals.

3.1 Growth of ICT Infrastructure

Computer and Internet
The growth of PC use and Internet users growth is increasing gradually but still its not
quite remarkable due to lack of content and affordability. (Sources: ITU and UNESCO)

Computers & the Internet

1995 2001
Personal computers (Per 1,000
people)

..

1.9

Installed in education (thousands)

..

..

Internet Users (thousands)

..

250.0

..

17.3

..

0.33

Monthly off-peak access charges

Service provider charge ($)
Telephone usage charge ($)

16

PC availability: Personal computers per 1000 people- Estimates are derived from annual
questionnaires supplemented by other sources. Source: ITU.

Sources: Development Data Group, World Bank

Telecommunication
Telecommunication is growing very fast in Bangladesh. The tele-density (fixed line and
cellular) in Bangladesh is 34.768 percent (Source: BTRC)
A total of 12 landline operators have so far been awarded licenses. (Landline subscribers:
1.6 million).
The total number of PSTN phone subscribers has reached 1603.187 thousand at the end of
November 2009.
The total number of Mobile phone active subscribers has reached 50.55 million at the end of
November 2009.
At present 6 mobile phone companies are operating in Bangladesh. About 50.55 million
subscribers have come under the coverage of mobile network as on November 2009.
Telecom Infrastructure in Bangladesh
* 700,000 fixed lines (90% in service)
BTTB (Government monopoly)

17

* Telephone density: 0.5 lines per 100

Population
One of the highest in the world
*average telephone density is 0.05 per 100 people in rural areas
* 800,000 mobile cellular telephones
Impressive growth; >100% CAGR
16,000 village phones in 15,000 villages providing tele access to 30 million

Global Connectivity
*Internet
Private sector ISPs (June 1996)
VSAT initially licensed by BTTB deregulated in 2000
Around 75 ISPs
Mostly in Dhaka
Gradually spreading to other Cities/Towns
*E-mail
Dialing from outside 1994
150,000 account holders
CAGR > 100%
c. 700,000 users
*Broadband wireless or cable
available in Dhaka and Chittagong
*Submarine Cable connection to Global Information Superhighway

3.2 Domestic ICT Industry and Software Market

The market size of the ICT Industry in Bangladesh is estimated to be around US$ 200
million/year (excluding the telecom sector).
Out of this the software segment is estimated to be more than US$ 30 million/year.
Locally there are over 500 software companies with 50,000 knowledge workers are
operating in the country, mainly catering to the customized software development and
maintenance segment of the market.

18

There are mainly three broad categories of software such as Customized Software,
Multimedia Software, Web Software developed in Bangladesh. The most widely used
programming language used for developing software are Visual Basic, C++, MS Access,
SQL, Oracle, Java, Fox-Pro, Developer 2000, HTML and more.

ICT Firms in Bangladesh

An encouraging sign is that 57% of the software companies are involved in Government
sector IT projects.
It is a positive sign since the Government sector is potentially the biggest client for the
software industry, with the National IT Policy guideline of allocating up to 5% of ADP, and
2% of revenue budget for IT.
Currently more than 100 companies are exporting software and outsourcing to more than 30
countries.
At least 40 Offshore Development Centers (ODC) and Joint Ventures started working during
the last 2-3 years, out of which 10 are with Danish IT firms.

3.3 Growth of Software Export

The growth of software export in 2008-09 is 24.82 million USD which shows a increasing
trend in comparison to the export in 2007-08 after collapse of the global economy.

19

Rapid development in the ICT sector also reflects a rapid growth of skilled manpower which
ultimately accelerates the economic growth. Despite many challenges such as political
instability, financial crisis and power shortages, many large and ambitious projects are going
on to achieve develop this sector. If the government functions at the current pace, we can
hope that within a few years the ICT sector will be the largest revenue earner for Bangladesh.
Sources: Development Data Group, World Bank
ICT business & government environment
(ratings from 1 to 7; 7 is
highest/best)

1995 2002

Broadband internet access

availability

..

2.2

Local specialized IT services

availability

..

2.8

Competition in ISPs

..

4.2

Government online services

availability

..

1.5

Laws relating to ICT use

..

2.1

Government prioritization of ICT

..

4.4

Secure servers

..

1*

Sources: World Economic Forums Global Competitiveness Report 2002-2003 and Global
Information Technology Report 2002-2003 (ratings) and Net craft (secure servers).

Though ICT sector of our country has been developed a lot, it is not enough to cope with the
present world. While the developed countries of the world have exploited the potential of
science and technology in national development, developing countries have fallen behind.
Resource constraint, inadequate ICT capacity, and lack of appreciation of the power of ICT
may be cited as the reasons. The revolutionary development in the field of ICT has opened
up new opportunities for developing countries to move forward in the path of progress by
rationally exploiting its potential. In view of that, Bangladesh has been aspiring to achieve

20

economic development through the application of Science as well as Information and

Communication Technology (ICT). The government of Bangladesh has taken steps in this
connection. The Government focuses on the reduction of poverty by applying ICT, increase
in efficiency, productivity, transparency, access to information by the citizens. Citizens at
large will be empowered with necessary information for efficiency performing their tasks.

As you see there is a lot of

enough

Still!!!??? and not

in

ICT in Bangladesh
Here is why??

4. Cause of slow pace of ICT in Bangladesh

Despite having 50 years of history the government has only from 1997 started the process of
developing a national ICT strategy. In 2002 Bangladesh identified ICT as a "thrust sector" as
it represents potential for quick wins in reforms, job creation, industry growth, improving
governance and facilitating inclusion, and it has high spillover effects to other sectors.
Today, in Bangladesh, the overall IT sector (excluding telecoms) is small, valued at $300
million, with IT/ITES claiming 39% ($117 million) of that value. The overall IT/ITES
industry has enjoyed a high growth rate of 40% over the last five (5) years and this trend is
expected to continue.
As a developing market Bangladesh has a fair set of weaknesses. Most of them come from
lack of skills, know-how and investment in the country. The main weaknesses are given
below:
1. The main weakness of the Bangladeshi market remains infrastructure and power shortages.
2. The main weakness is the lack of reliable infrastructure. Internet speed, bandwidth and

21

electricity are key problems that regularly affect daily operations. Since many of the
companies
are dedicated to software development, damage of poor internet connectivity is limited.
3. The Bangladeshi ICT sector also suffers from poor international visibility and lack of
brand
name as a global offshoring destination.
4. The ICT sector in Bangladesh is comprised of mainly small ICT companies that currently
seem to lack focus and scale to take up large long-term projects.
5. Scalability is an issue as 90 percent of the companies have 10-30 employees.
6. The companies in Bangladesh do not manage to create a unique sales proposition. They
all offer a wide range of products and services. 80 percent of the companies in Bangladesh
are offering the same services. Whereas the technical work can be done, the long term
service is not very reliable because of the size of the companies.
7. There is a big lack of soft skills in Bangladesh. If you have 100 candidates for the job,
probably just 2 have the right soft skills (listening, keeping conversation going, etc.) This
makes training costs high.
8. Sometimes there is a gap between the industry needs and the IT graduates. To solve the
problem, companies need to offer trainings and internships for post-graduates.

22

No. of ICT professionals

9. Due to the lack of investments the competition is not tough and the turnover of employees
is lower than in other countries. The investment climate is good; hence there is a lot of room
for growth.
10. Bangladesh as a young democracy, Infrastructure to support economic growth is an
inadequate and often not able to serve companies with basic needs such as a stable power
supply and access to high speed internet.

5. Conclusions
Information Communication Technology (ICT) encompasses the broad fields of
data/information processing, transmission and Communications by means of computer and
telecommunication techniques and these modern tools are being increasingly used for
organizational/personal information processing in all sectors of economy and society. A
dependable information system is essential for efficient management and operation of the
public and private sectors. But there is a shortage of locally generated information needed
for efficient performance of these sectors. In order to meet this objective, ICT use in every
sector shall have to be accelerated in terms in terms of information generation, utilization
and applications. Considering the gravity and importance of ICT Honorable Prime Minister
has already declared ICT as the thrust sector.

6. Recommendations
KEY STRATEGY FOR DIGITAL BANGLADESH

As part of its agenda to build a Digital Bangladesh, the government has identified the
mobile phone as a key medium of electronic service delivery to citizens.

23

Although, mobile phones and their many technology options are already being utilized by
several agencies of the government, to truly utilize its true potential, an effective and
long-term partnership with the private sector is essential.

24

GREATER BROADBAND PENETRATION LARGEST IMPACT ON GROWTH

According to the World Bank, an extra 10 mobile phones per 100 people in a typical
developing country added 0.6 percentage points of growth in GDP per capita,
and this impact is about twice as large in developing countries than in developed
countries.

Source: World Bank; Qiang 2009

THE ECONOMIC IMPACT OF INCREASED INTERNET
PENETRATION/BROADBAND

A 1 % increase in the number of Internet users is correlated with a boost in exports

of 4.3 %.

25

The role of network users in the innovation process increases as they generate or
contribute to new ideas (user-led innovation, or the democratization of innovation)
and collectively develop new products (such as open source software).

In terms of the impact on firms and the corporate sector, in developed economies,
broadband is revolutionizing the print, movie, music, gaming, and advertising
industries by enabling direct involvement by users in creating digital content.

BANGLADESH HAS ONE OF THE LOWEST INTERNET PENETRATIONS IN THE

REGION

1. %
9

4. %
0

5. %
5

5. %
8

7%

10.%
6

Nepal Bangladesh Srilanka Bhutan

India Pakistan Maldives Vietnam

Source:aGSMA n

CONSTRAINTS ON GREATER INTERNET PENETRATION

1.

Poor quality and fixed line coverage, particularly outside of the core urban areas:
Currently, approx. 90% of fixed lines are concentrated in the urban areas, where only
25% of the population live.

26

2.

High access prices: However, this appears to be improving as mobile operators have
started to offer cheap pre-paid packages and the government has cut wholesale
broadband costs.

3.

Low awareness of the Internet and its benefits: In a survey in 2007/08, 75% of rural
Bangladeshis said that they were not aware of the Internet.

4.

Low levels of literacy in the country, particularly English literacy. Headcount literacy
rates in Bangladesh are around 50%. Based on current interfaces, this is likely to be
insufficient for someone to effectively access the Internet.

THE BROADBAND ECOSYSTEM

Broadband ecosystem includes the networks that support high-speed data

communication and the services these networks provide. It also includes the
applications provided by these services and the users who are increasingly creating
applications and content.

27

BROADBAND MARKET DEVELOPMENT IN THE REPUBLIC OF KOREA

The Republic of Korea has seen a significant transformation, from less than 1
Internet user per 100 inhabitants in 1995 to one of the worlds most highly
penetrated broadband markets.

By June 2009 fixed broadband penetration was 32 percent, and market

penetration of 3G services was 77 subscribers per 100 inhabitants.

Koreas exceptional success in developing broadband, and ICT generally, reflects

a unique mix of highly competitive private-led markets and government
leadership, use, support, and regulation.

POLICY RECOMMENDATIONS TO OVERCOME THE PROBLEM

Wireless broadband: In view of the constraints with a fixed network, wireless

broadband could play an essential role in improving accessibility, particularly for
sparsely populated and rural areas. The primary advantages of wireless
broadband are its lower construction cost, shorter timeline for rollout, and lower
costs for end users.

Provide schools with Internet access: In many cases it is the most cost
effective way to increase IT literacy and Internet awareness. The youths will
generally be the most technologically savvy age group, and will also have the
highest level of literacy, making them an ideal target group.

Infrastructure Improvement: it is the final and perhaps most critical area to ensure that
those who want to access the Internet are able to do so at a reasonable standard of quality.
Many governments globally have announced programs to invest heavily in fixed broadband
networks, led by Australia, which has committed to spend USD 30B over the next 8 years
to
build
its
national
broadband
network

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Appendix
ICT-related Organizations
* 1979: BCS (Bangladesh Computer Society) 3000 members
* 1989: BCS (Bangladesh Computer Samity) 280 members
* 1997: BASIS (Bangladesh Association of Software & Information Services) 80
members
* 2001: ISP Association
*2001: E-Commerce Association
*2002: BTRC (Formerly *1979: BTTB)-Bangladesh Telecommunication Regulatory
Commission.-a govt. organization which control total telecommunication system of
Bangladesh.
Glossary
1.Global village It is used to express the idea of a connected world.
2.digital Bangladesh-An agenda taken by government of Bangladesh to make
advancement in information and technology.
3.ITU-International Telecommunication Union, deal with international
telecommunication.
C/C#/C++/JAVA some programming languages
VoIP-Voice over internet protocol. Calling through internet.
PIT-Public Information Terminal: Places where rural people can get information.

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List of references
1.http://www.dhakatribune.com/bangladesh/2014/nov/18/kamal-progress-

towards-digital-bangladesh-sluggish
2. BASIS (date unknown), Bangladesh Software and IT Service Industry
recent Trends & Dynamics, <
http://www.basis.org.bd/resource/About_BASIS_&_Bangladesh_Software_an
d_ITS%20_Industry.pdf>, last visited: 30 December 2013
3. Computer and Internet Penetration Rates for Highest, Lowest and Largest
Countries. International Telecommunications Union (2001).
4. ICT Development Index
5. ITU and UNESCO
6. Development Data Group, World Bank.
7. Sources: World Economic Forums Global Competitiveness Report 20022003 and Global Information Technology Report 2002-2003 (ratings) and Net
craft (secure servers).
8. http://www.amtob.org.bd/resource/telecom-recommendation.pdf

9. Source: GSMA

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Bibliography
1. Do you have any idea about internet?
(a) yes (b)no (c)what is this?
2. Is our budget is enough for ICT sector?
(a) yes (b) No (c) No idea.
3.What is your opinion about adding vat in software and hardware?
(a)Good (b)bad (c)disappointing (d)no idea.
4.How much do you pay for your internet?
(a)a lot (b)little (c) not much
5.Do you know which generation of network we are using?
(a) yes (b) no (c)no idea
6.Do you think mobile internet is widespread now?
(a)yes (b) no (c)yes, but not enough
7.Hows the effect of Making ICT mandatory in high-school level?
(a)tremendous (b) good (c)bad (d) worse
8.Whats your opinion about free-lancing?
(a) its growing fast (b) its fascinating (c)both of them (d)not that good
9.Do you think importing fake products effects our ICT sector?
(a)yes (b) no (c)no idea
10.Is Digital Bangladesh a day dream?
(a) yes (b) no

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