BTRC Brings Broadband Price Break with New Tariff
The Bangladesh Telecommunication Regulatory Commission (BTRC) has introduced a revised broadband tariff aimed at reducing internet costs for end users and promoting digital inclusivity across the country. Under the new “One Country, One Rate” model, the tariff has been reduced by BDT 100 per bandwidth layer, which analysts believe could cut internet service prices by up to 20% at the consumer level.
According to official documents, with a maximum sharing ratio of one connection among eight users, the newly fixed rates for internet packages across metropolitan, district, sub-district, and union levels are: BDT 400 for 5 Mbps, BDT 700 for 10 Mbps, and BDT 1,100 for 20 Mbps. This pricing structure is set to remain effective for the next five years.
Welcoming the new tariff, Internet Service Providers Association of Bangladesh (ISPAB) Senior Vice President Saiful Islam Siddique stated, “We will begin implementing this tariff from July.” However, he expressed surprise that the 5 Mbps option was retained in the new structure. “A 5 Mbps connection cannot deliver standard internet service. It turns broadband into narrowband. We hope the commission will soon reconsider this matter,” he added.
Sources indicate that after taking office in September last year, BTRC Chairman Emdadul Bari initiated a thorough review of the national internet distribution system, which culminated in the new pricing policy. BTRC submitted the proposed tariff to the Ministry of Telecommunications on December 3, 2024. However, it took nearly four and a half months to secure approvals from both the telecommunications and finance ministries.
Industry experts believe this revised pricing framework will expand internet penetration and accelerate the pace of digital inclusion in Bangladesh.
In addition to the retail broadband segment, BTRC also revised tariffs at the ISP and International Internet Gateway (IIG) levels on May 18. To ensure affordable pricing and maintain market competitiveness, BTRC introduced a seven-tier pricing structure, factoring in Quality of Service and Experience (QoS&E), along with penalty clauses.
Under the new IIG tariff, the price for 100 Mbps bandwidth ranges from BDT 265 to 299, while for higher volumes above 101 Mbps, the rate is set between BDT 230 to 255. These rates, like the broadband tariffs, will be effective from July 1 and will remain valid for five years. For purchases exceeding 10 Gbps, each order must be sustained for a minimum of six months.
However, market inquiries reveal that some IIGs are unofficially selling 100 Mbps bandwidth at BDT 175, raising questions about pricing discipline within the sector.
