The national internet regulatory body has mandated a decrease in customer broadband costs, with reductions reaching up to Tk 100, aiming to make internet access, aiming to make internet access more affordable nationwide.
On Tuesday, the Bangladesh Telecommunication Regulatory Commission (BTRC) instructed broadband internet service regarding the new regulations.
Internet records indicate that the BTRC presented its recommendation to decrease internet rates for consumers to the telecom ministry for preliminary approval on December 3 of the preceding year. This pre-approval is a required procedure before the commissions can significant policy changes.
Nevertheless, obtaining the necessary endorsements from both the telecommunications and finance ministries required approximately four and a half months.
With the revised pricing structure, the monthly cost for a 5 Mbps broadband connection will be Tk 400, a decrease from the Tk 500 rate established in 2021. Similarly, the 10 Mbps plan will now be priced at Tk 700, down from Tk 800, and the 20 Mbps option will cost Tk 1,110, reduced from Tk 1,200.
Emdad ul Bari, the BTRC Chairman who took office in September of the previous year, has consistently stressed the importance of lowering internet costs. Consequently, the BTRC initiated an in-depth examination of the complete internet supply chain.
Bari stated about the price reduction, “Our comprehensive analysis of the entire internet market revealed several areas where cost reduction could be implemented across different levels”.
In Bangladesh, the journey of internet access starts with International Submarine and terrestrial cables providing bandwidth to International Internet Gateway (IIGs). This bandwidth then flows to Internet Service providers (ISPs) via Nationwide Telecommunication Transmission Networks (NTTNs), who ultimately deliver internet services to individual users.
Bari, who previously headed the BTRC’s systems and services decision, also noted that “we have implemented price reductions for International Internet Gateways as well”.
The BTRC’s investigation revealed a threefold surge in internet bandwidth usage, reaching 6,036 Gbps between September 2021 and September 2024. This increase led to higher transmission expenses imposed by Nationwide Telecommunication Transmission Networks (NTTNs).
However, the decline in International bandwidth prices presents an opportunity to lower costs for both International Inter Gateway (IIGs) and Internet Service Providers (ISPs). This reduction in costs can then be passed on to consumers, resulting in more affordable internet access.
Afterward, The BTRC’s analysis also uncovered that International Terrestrial Cable (ITC) operators, who also hold licenses as International Internet Gateway (IIG) operators, were selling internet bandwidth to their own linked companies at considerably reduced prices, leading to unfair market competition.
To address this unethical practice and establish consistent pricing, the BTRC has instructed its Engineering and Operations Division to take immediate action.
Following their analysis, the BTRC successfully negotiated a decrease of 15 to 25 percent in the price of bandwidth that Internet Service Providers (ISPs) pay to International Internet Gateways (IIGs), who serve as wholesale bandwidth suppliers.
This reduction in wholesale costs has now made it possible to offer more affordable internet plans to consumers.
Effective July 1 2025, the Bangladesh Telecommunication Regulatory Commission (BTRC) will implement a revised internet pricing structure that will apply to all authorized public and private Inter Service Providers (ISPs) for an initial duration of five years.
