Mobile technologies and services generated 6.2% of the GDP of Bangladesh in 2015, a contribution that amounted to around $13 billion of economic value, according to GSMA Intelligence.
In the same year, mobile operators and the ecosystem provided employment to more than 760,000 people across Bangladesh, the report further stated. One-third of this was created directly in the ecosystem, while the rest is generated indirectly in other sectors as a result of the demand for production inputs generated by the mobile sector.
“GSMA Intelligence findings clearly demonstrate the substantial contribution that mobile makes to the Bangladeshi economy,” GSMA head of spectrum Brett Tarnutzer said.
“By systematically pursuing a policy framework that increases certainty, acknowledges market realities and removes regulatory barriers to investment and innovation, the Bangladeshi government and its citizens stand to achieve so much in the coming years.”
In terms of public contribution, the mobile ecosystem generated about 10% of the government’s revenue in 2015, valued at $2.42 billion through general taxation, mobile-specific taxes, and spectrum licenses.
Mobile’s overall impact includes the direct impact of the mobile ecosystem as well as the indirect impact and the increase in productivity brought about by the use of mobile technologies.
GSMA added that Bangladesh performs close to the regional averages across metrics of mobile market development, despite a lower income than neighboring countries. Bangladesh is above the Asian average in terms of unique subscriber market penetration at 53%, while only slightly below with regard to mobile internet penetration at 33% and 3G at 20% of all mobile connections.
Thus, it sees the potential for further growth if a supportive policy environment is put in place.
GSMA Intelligence expects that the economic contribution of the mobile industry in Bangladesh will continue to increase. In value-added terms, it is estimated that the ecosystem will generate $17 billion by 2020. This forecast relies on a favorable macroeconomic environment and on a moderate expansion in demand and supply in the mobile market, as the number of mobile internet users and mobile coverage both increase.
Employment opportunities are also set to expand from 780,000 jobs in 2016 to 850,000 jobs in 2020, an increase of around nine percent during that period.
The amount of spectrum, and the terms on which it is made available, fundamentally drive the cost, range, and availability of mobile services. To ensure that this mobile vision becomes a reality, it is imperative that the spectrum is allocated in a way that encourages the rapid deployment of mobile broadband infrastructure, resulting in high quality, affordable mobile services for consumers across Bangladesh,” added Tarnutzer.