Budget spike in mobile phone service charges cause user outrage amid crisis

A rise in cost of mobile phone services has caused an outburst among the customers as they are depending more on phone calls, texts and internet for communication, study and business amid the coronavirus pandemic.

Many are still housebound and working from home on the internet, but it is getting costlier for those using mobile phone data as the government has raised supplementary duty on mobile phone services to 15 percent from 10 percent from Friday.

Telecom operator Robi termed “highly regrettable” the decision to raise voice call rates, SMS charges and internet data costs. The mobile phone operators say the cost of using their services will in effect rise by a staggering 33.25 percent in total, including 15 percent VAT, 1 percent surcharge, 15 percent duty and other taxes.

Nazmunnahar, a housewife living in Narsingdi, said she speaks with most members of the family in Dhaka on mobile phone.  

“I spend a lot of money in phone bills to talk to them. The rise in costs will force me to cut down on my talk time with family members,” she said.

Shahrima Zahan Shormi, a student of Bangladesh Agriculture University, communicates with her parents and in-laws via video call using her mobile internet data.

She said she would have to reduce her internet data usage as the cost has gone up.

“What kind of Digital Bangladesh we will have if we raise the cost of internet data?” asked Jewel Mahmud, a poultry entrepreneur.

‘Hasnain’, the father of a grade six student of Dhaka Residential Model College, said he bought his son a smartphone as the institution started online classes a month ago.

“Now the cost is going up when pandemic has hit the finances of many,” he said.

Khalid Hasan, who manages a real estate firm, said it would not have been a problem if the cost went up at any other time.

Photo: Mostafigur Rahman

Sadekunnahar, a clothing and handicraft seller in Rangpur, said her business is heavily dependent on the internet now due to the virus outbreak.

“I have to call the customers as well. It will be difficult for small businesses like mine to run operations,” she said.

The number of connections sold by the four mobile phone operators of Bangladesh is over 165 million, including 100 million used for internet, as of March.

Mohiuddin Ahmed, the president of Mobile Subscribers Association, said the hike in mobile service prices will be add to the wounds of people who have been hit with loss of jobs during the coronavirus crisis.

SM Farhad, secretary general of Association of Mobile Telecom Operators or AMTOB, said the decision to raise the duty will impact the economy and deepen the crisis further.

Abu Hena Md Rahmatul Muneem, the chairman of the National Board of Revenue, however, thinks a five percentage point hike in mobile service price will not affect the customers much.

He believes the people have the spending power to deal with the hike.