Bangladesh’s three private mobile operators have asked the telecom regulator to go further on spectrum prices, just days before their existing frequency licences run out. The request comes even though the regulator has already proposed a sizeable discount.
In a letter sent on October 25 to the Bangladesh Telecommunication Regulatory Commission (BTRC), the Association of Mobile Telecom Operators of Bangladesh (AMTOB) said the renewal prices should be cut again. It also asked for longer and easier payment terms. Grameenphone, Robi and Banglalink must renew a combined 79.2MHz across the 900MHz, 1800MHz and 2100MHz bands, and their current licences expire on November 10.
Grameenphone holds the largest share at 32.4MHz, followed by Banglalink at 24.4MHz and Robi at 22.4MHz. These are the bands that carry most of the country’s everyday voice and 4G data traffic.
What the regulator has already offered
On October 15, the BTRC sent the Posts and Telecommunications Division a proposal to reduce renewal prices by 10 to 30 percent across the three bands. If the government approves it, the combined bill for the three operators would fall to about Tk 13,100.5 crore, down from roughly Tk 16,845.2 crore at current rates. That is a saving of around 22 percent, and a revenue sacrifice for the state of about Tk 3,744.7 crore.
The regulator has said its prices come from a consultant’s study that used four valuation methods, weighing projected income, engineering costs, international benchmarks and wider economic benefits. The BTRC later moved to a 20-year licence tenure, with payment spread over 12 instalments instead of eight. BTRC Chairman Md Emdad Ul Bari has defended the numbers, arguing that pricing has to balance investment incentives against a dependable flow of direct revenue to the government.
The operators welcomed the longer tenure but say the fees look like a mechanical extension of the shorter-term rates. They have questioned how transparent the valuation was, saying they have not seen the study’s assumptions and that the final prices sit above both the low end and the average of the valuation range.
AMTOB’s list of demands is specific. It wants further cuts to base prices in all three bands, payment in 20 equal yearly instalments over the 20-year term, no upward revision of prices for the longer tenure, the withdrawal of the annual spectrum charge, and an urgent meeting between the regulator and operator chiefs.
The operators’ central argument is about how much of their income goes on airwaves. AMTOB says Bangladeshi operators spend 15.7 percent of revenue on spectrum, against a global average of 7.7 percent and an Asia-Pacific average of 10.4 percent. Its secretary general, Lt Col Mohammad Zulfikar (retd), said the price “can further be reconsidered” so that more money goes into networks.
Regional comparisons support the general point, though they are not exact. Bangladesh’s 2022 auction priced 2.3GHz and 2.6GHz spectrum at about $6 million per MHz. Pakistan’s similar bands went for roughly $1 million to $1.25 million per MHz. Band, licence length and auction rules all differ, so the figures are a guide rather than a like-for-like test.
The market has also shown its reluctance to pay. When Grameenphone bought 10MHz of 700MHz spectrum in January at Tk 237 crore per MHz, Robi and Banglalink stayed away, citing price and auction terms.
What it means here
For mobile users, the outcome will shape network quality more than tariffs in the short run. Money spent on licences is money not spent on new towers, fibre backhaul and capacity in crowded areas, which is where complaints about slow data and dropped calls usually come from. Mobile financial services, e-commerce and online learning all depend on that same network.
The government faces a real trade-off. Lower prices mean less up-front revenue but could bring more investment, wider coverage and more indirect tax over time. With the licences expiring on November 10, a decision is needed within days, and the terms set now will shape the country’s mobile networks well into the 2030s.
