September 18, 2026

Will Bangladesh's spectrum renewal finally strike the right balance?

The government expects billions in revenue as operators argue cheaper spectrum will boost digital growth

Golam Mortuza Antu

bdnews24.com

Published : 04 Aug 2026, 04:29 PM

Updated : 08 Sep 2026, 09:30 AM

Three private mobile operators must renew 79.2 megahertz (MHz) of spectrum by November, from which the government hopes to reap tens of billions of taka in revenue.

Bangladesh's telecom operators, however, harbour longstanding grievances over steep spectrum prices. Invoking the government's own "internet for all" vision, they argue high prices left nearly half the spectrum unsold at January's auction.

The Bangladesh Telecommunication Regulatory Commission (BTRC), for its part, is seeking a middle ground between maximising revenue and widening service coverage.

Spectrum, a finite national resource, is allocated to operators by the BTRC at fixed rates for set terms.

Industry insiders warn that scarce spectrum stymies high-speed broadband rollout, while inflated prices choke off network investment -- making the pricing calculus a delicate one.

BTRC data show operators collectively deploy 463MHz of spectrum nationwide. 

Grameenphone must renew 32.4MHz this November, Robi 29.4MHz, and Banglalink 21MHz.

In January, the BTRC auctioned 20MHz in the 700MHz band. 

Robi and Banglalink withdrew because of the high reserve price, while Grameenphone bought 10MHz for Tk 23.7 billion.

The leftover 10 MHz was later handed to state-run Teletalk at a nominal fee, a move that has stoked resentment among rivals and, they claim, tilted the competitive field.

Operators caution that without a price cut, a similar chunk of spectrum could again go unsold. 

Cheaper spectrum, they argue, would spur uptake, lifting both service quality and indirect state revenue.

Chasing ‘Sweet Spot’

The telecom industry has long contended that trimming spectrum prices would boost sales and, eventually, swell government coffers. 

The BTRC insists such a call cannot rest on conjecture alone.

BTRC Chairman Emdad ul Bari said GSMA, the global mobile industry association, representatives had repeatedly flagged the high cost of spectrum licences. 

"We understand that too. Yes, the price is steep. But this is a notion-driven argument, since the underlying premise is that lower prices lift indirect revenue. 

“The government needs certainty on maximising its take.”

The BTRC has since assembled an expert panel to scrutinise pricing, terms and allied conditions before renewal.

Bari said the regulator had never possessed dependable research pinpointing the "sweet spot" that reconciles revenue with broader progress, prompting the BTRC to commission an in-depth study. 

"We hope this may be the first time BTRC can advise the government, grounded in solid research, on the fair, rational price for spectrum earmarked for internet and other services," he said.

Operator Stance

Grameenphone serves 84.4 million subscribers with 137.4MHz of spectrum. 

Robi holds 124MHz for 57.4 million users, while Banglalink has 80MHz for 37.4 million subscribers.

State-run Teletalk controls 65.2MHz, serving around 6.8 million customers.

With hefty fresh investment on the horizon, operators are treading warily on price.

Grameenphone's Chief Corporate Affairs Officer Tanveer Mohammad said “a balanced, transparent, investment-friendly” renewal framework would spur the long-term investment needed to advance the country's digital transformation. 

"Spectrum prices in Bangladesh remain high relative to international markets and ground realities. 

“We hope a more rational, investment-friendly structure is considered as part of this renewal, empowering operators to invest further in network expansion and technological upgrades.”

He added that constructive talks with the authorities would continue.

Banglalink's Chief Corporate and Regulatory Affairs Officer Taimur Rahman welcomed the move to engage an independent consultant to review pricing and policy ahead of renewal. 

"We hope this review is evidence-based, anchored in international best practice and regional benchmarks, and helps deliver a balanced outcome that safeguards the long-term interests of both government and industry.”

Robi Chief Corporate and Regulatory Officer Sahed Alam said the company had operated with comparatively limited spectrum for the past 15 years while continuing to invest to expand its network and meet rapidly growing data demand.

He said the government's vision of "Internet for All" and broader digital transformation goals should be reflected in spectrum pricing.

Sahed warned that if renewal prices remained excessively high, customers would ultimately bear the cost.

“To sustain service quality, operators will be forced to deploy substantially more network equipment to offset the spectrum shortfall," he said. 

"That not only inflates network expansion costs but also drives up telecom equipment imports, draining the country's precious foreign currency reserves."

A Dissenting Voice

Faiz Ahmad Taiyeb, who served as the then chief advisor's special assistant on ICT under the interim government and was directly involved in this year's 700-band auction, strikes a different note.

He argued fresh, elaborate research is “unnecessary” to set a base spectrum price, insisting BTRC's accumulated experience already equips it to fix rational, band-specific rates. 

Not every band merits identical pricing, he said - high-demand bands warrant one approach, low-demand bands another.

Pricing decisions, he stressed, should not fixate solely on immediate revenue. Greater operator investment would yield superior networks, swell the subscriber base, and ultimately hand the government larger returns via tax, VAT and other channels. 

Taiyeb noted that many countries now prioritise telecom sector growth over maximising proceeds from spectrum sales because wider deployment ultimately increases long-term government income.

He recalled that under the interim government, the base price of the 700 MHz band was trimmed 10 percent following talks with the finance ministry -- though that did not mandate an equal cut across every band. 

Bands with tepid demand, he argued, are better allocated at a sensible price than left idle indefinitely, since broader uptake ultimately serves the government's interest.

Taiyeb also questioned the need to appoint international consultants before the renewal process.

He said the BTRC had already carried out extensive work on spectrum management and should rely on its own expertise rather than consultants.

He argued that many consultants hired for government projects lacked sufficient quality and that the same international consulting firms often recycled personnel and recommendations across different assignments.

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