Bangladesh Telecommunications Policy 2025: Licensing Reform, Connectivity, and Business Growth
Bangladesh Telecommunications Policy 2025: Licensing Reform, Connectivity, and Business Growth
Introduction
In a bold move to contemporize the country’s digital geography, the Government of Bangladesh has rolled out the Telecommunications Network and Licensing Policy 2025 (also known as the Bangladesh Telecommunications Policy 2025). Approved on September 18, 2025, this new frame replaces the outdated International Long Distance Telecommunication Service (ILDTS) Policy from 2010. It’s designed to simplify how telecom networks operate, cut down on red tape recording, and boost invention, eventually making internet and phone services briskly, cheaper, and more dependable for everyone. At Sadat Sarwat and Associates, we’re nearly following these developments to help our guests navigate the changes easily.
1. Why the Change? Addressing Old Problems Head-On
For times, Bangladesh’s telecom sector has been a hustler for growth, connecting millions and driving profitable progress. But behind the scenes, the old rules created a involved web of licenses and regulations. suppose lapping conditions, high costs for companies, and inefficiencies that pushed some internet business overseas, leading to slower pets and lost profit for the country. The 2025 policy tackles these issues by streamlining everything. It shifts from a rigid, multi, layered system to a more flexible, technology, neutral approach. This means companies can use the rearmost tech, like fiber optics, satellites, or wireless, without getting embrangle down in outdated restrictions. The thing is to give better service quality, further competition, and stronger public control over digital structure.
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2. Key Highlights: What’s New in the Policy?
Here’s a straightforward breakdown of the main features, explained in everyday terms:
a) Simplified Network Structure: Gone are the days of forced separations between different parts of the network (like voice and data links). Now, everything can connect more efficiently through unified IP, based systems. This keeps local traffic within Bangladesh, reducing costs and improving speed. For users, it could mean quicker access to local websites and apps without unnecessary detours abroad.
b) New License Categories: The new licensing regime under Bangladesh’s Telecommunications Network and Licensing Policy 2025 introduces a streamlined set of categories to replace the old fragmented system, with all licenses being technology-neutral so providers can adopt any suitable tech.
- i. Access Network Service Providers (ANSP): The ANSP category includes two subtypes: Cellular Mobile Service Providers, which handle mobile operators, and Fixed Telecom Service Providers, covering ISPs and wired or fixed wireless services; these ANSPs manage the customer-facing networks like towers and last-mile connections, leasing national fiber and backhaul from NICSPs except for minor local segments, while being required to engage in domestic peering, share infrastructure such as towers and fiber according to regulations, and adhere to BTRC-set rollout and quality standards. Key notes for ANSPs include a foreign ownership limit of up to 85% for cellular types, with at least 15% domestic stake required through various options and a three-year grace period for those with prior agreements, plus the ability to deliver modern services like regulated MVNOs, network slicing, IoT, and private 5G networks under flexible BTRC guidelines for emerging offerings.
- ii. National Infrastructure & Connectivity Service Providers (NICSP): The NICSP focuses on constructing and leasing nationwide backbone assets, including fiber, towers, DWDM, and dark fiber, extending down to the Union Parishad level for leasing to ANSPs and others; these are open to foreign investment with a cap of 65% shareholding except in specific exemptions, expecting at least 15% domestic involvement in most instances, and crucially, they cannot be owned by ANSPs or ICSPs to prevent conflicts of interest.
- iii. International Connectivity Service Providers (ICSP): The ICSP, which manages international voice, data, and internet links as previously outlined, permits up to 49% foreign ownership and comes in facility-based forms that own infrastructure like cables or non-facility-based ones that resell services.
- iv. Non, Terrestrial Networks and Service Providers (NTNSP): The NTNSP covers satellite systems, high-altitude platforms, maritime and aeronautical mobile services, VSAT, and similar technologies, with tailored rules for landing rights and lawful interception.
- v. Telecom Enabled Service Providers (TESP): Finally, the Telecom Enabled Service Provider (TESP) involves a lighter enlistment process rather than full licensing for entities using telecom networks to provide add-on services like SMS aggregators, serving as a simple registration to acknowledge these operations.
c) Deregulation for Easier Entry: Some services, like national internet exchanges, call centers, and vehicle tracking, no longer need full licenses, just guidelines from the Bangladesh Telecommunication Regulatory Commission (BTRC). This opens doors for small businesses and startups.
d) Focus on Quality and Fairness: Operators face strict rollout deadlines (e.g., fiberizing 80% of towers in three years) and quality benchmarks. Incentives like spectrum fee discounts reward fast deployment. If a company dominates the market (called Significant Market Power), BTRC can step in to ensure fair play, like mandating infrastructure sharing.
e) Security, Environment, and Privacy: New rules emphasize cybersecurity, data protection (aligning with global standards like GDPR), and eco, friendly practices, such as using renewable energy for towers. Lawful interception for security is required but must follow strict legal safeguards to protect privacy.
f) Old and New: The Policy also outlines significant changes regarding the discontinuation and renaming of existing licenses to align with the new framework, as detailed in Table 2: Migration for Existing Licensees. Several legacy licenses are set to be phased out, including the International Gateway (IGW) Licenses, International Internet Gateway (IIG) Licenses, Interconnection Exchange (ICX) Licenses, and National Internet Exchange (NIX) Licenses, which will cease to exist as they expire, marking the end of outdated categories. Conversely, other licenses are being repurposed or renamed: the Submarine Cable License and International Terrestrial Cable (ITC) Licenses will transition into the International Connectivity Service License, while the Nationwide Telecommunication Transmission Network (NTTN) License and Tower Sharing Licenses will be consolidated under the National Infrastructure & Connectivity Service License. Cellular Mobile Telecom Operator Licenses will be rebranded as Cellular Mobile Service Licenses, and Public Switched Telephone Network (PSTN) Operator Licenses will become Fixed Telecom Service Licenses; similarly, Internet Service Provider licenses at nationwide, division, district, upazila, or thana levels will either merge into Fixed Telecom Service Licenses or shift to District Fixed Telecom Service Licenses for internet and data services. The Internet Protocol Telephony Service Provider will integrate with corresponding ISP licenses during migration, while NGSO and Satellite Operator Licenses will continue as Satellite Service Licenses under the Non-Terrestrial Networks and Service Provider category, and VSAT Licenses (Provider, User, HUB) will fall under a special category of Fixed Telecom Service. Certain licenses, like Mobile Number Portability (MNP) Licenses, will remain valid until their current terms end, whereas Call Center Registration Certificates, Vehicle Tracking Services, and TVAS Registration Certificates will be deregulated, requiring no formal licensing, and SMS Aggregator Enlistments will transition to Telecom Enabled Service Enlistments, ensuring a smooth evolution of the regulatory landscape.
g) Migration Timeline: It’s a phased rollout ending by June 30, 2027. Companies can apply to switch early, potentially carrying over time from old licenses. No financial handouts from the government, but the focus is on making the transition fair.
3. What Does This Mean for Stakeholders?
a) For Consumers: Expect better coverage in rural areas, more affordable plans, and reliable services. With competition heating up, you might see innovations like faster 5G, IoT for smart homes, or easier number portability when switching providers.
b) For Businesses: If you’re in telecom, infrastructure, or even a startup using digital services, this is your cue to review licenses and plan investments. The policy encourages local entrepreneurs and foreign partners, but compliance is key to avoid fines or revocations. Sectors like e, commerce, banking, and logistics could benefit from stronger networks.
Overall, this policy positions Bangladesh as a digital hub, attracting investment while protecting national interests.
4. How Sadat Sarwat and Associates Can Help
At Sadat Sarwat and Associates, our team of experienced lawyers specializes in regulatory compliance, corporate law, and dispute resolution. We are working with the best companies like- Huawei Technologies (Bangladesh) Limited, Samsung R&D Institute Bangladesh, Summit Communications Limited, ST Engineering Mission Software & Services PTE LTD, and etc. We have helped clients in similar sectors adapt to policy shifts, from license applications to migration strategies. Whether you are an operator needing guidance on foreign ownership rules, a startup exploring deregulation opportunities, or facing BTRC audits, we’re here to provide practical advice tailored to your needs.
Don’t let these changes catch you off guard, contact us today for a free consultation. Call +8801711593477 or email at corporate@ssalegal.org or visit our website at https://sadat-sarwat.com/ to schedule an appointment.
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References:
- https://ptd.portal.gov.bd/sites/default/files/files/ptd.portal.gov.bd/npfblock//3020%20%281%29.pdf
- New telecom policy trims licensing categories to four. https://www.thedailystar.net/business/news/new-telecom-policy-trims-licensing-categories-four-3993966
- https://thefinancialexpress.com.bd/home/govt-approves-telecom-policy-2025-to-simplify-licensing-framework
- https://www.bssnews.net/news/308633