The government has opened up licenses for the submarine cable business, removing the clause that allowed only two companies in the market.
The government also wants to attract more local and foreign investments in the sector in a bid to create an ecosystem for competitive and high-quality internet in the 5G era.
To this effect, Bangladesh Telecommunication Regulatory Commission (BTRC) has amended the clause, said a circular issued on Sunday.
According to the amendment in the 'Regulatory and Licensing Guidelines for Invitation of Offers/Proposals for Issuing License to Build, Operate and Maintain Submarine Cable Systems and Services in Bangladesh', the number of licenses will be decided by the government in order to ensure diversity, fair competition, uninterrupted and efficient telecom services.
Licenses will be awarded by the Commission as per the evaluation of submitted offers or proposals subject to the approval of the government, the circular further said.
The previous clause said: "The Commission will issue maximum 02 (two) licenses for Submarine Cable Systems and Services in Bangladesh under the International Long Distance Telecommunication Policy, 2010 and as per the terms and conditions of the guideline made for the purpose."
Posts and Telecommunications Minister Mustafa Jabbar said the initiative had been taken to ensure fair competition and attract investments in the sector.
Replying to a question, he said it did not mean that the government was inviting new entry now.
"If any foreign or local investor shows interest, we will formally invite application," he said.
"But our main target here is to attract foreign investment in the sector."
The minister said there was no logical ground behind not allowing foreign investments in this sector.
Companies have to exist by winning the competition, said the minister, adding that protectionism had not worked anywhere in the world.
Though there was a provision for two companies, Bangladesh Submarine Cable Company Limited (BSCCL) is the core telecommunications service provider and international submarine cable operator of Bangladesh.
It is also an IIG (International Internet Gateway).
The service provided by BSCCL represents the long-haul communication between Bangladesh and the rest of the world.
The company emerged in July 2008 as a public limited company under the Posts and Telecommunications Division of the Ministry of Posts, Telecommunications and Information Technology.
Talking to the FE, BSCCL Managing Director Mashiur Rahman said the sector required more investments.
Welcoming the government move, he also said they were ready for new entries in the market.
More players will create a competitive environment, ensuring better services for all, he added.
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