In an intensely competitive market like Bangladesh, how is Banglalink conducting its business? And how is it going beyond its traditional offerings to differentiate itself and deliver lasting customer value?

I think we’re 20 years old. Telecommunication—especially mobile—is what we would call a CapEx-intensive industry. Running a network requires a heavy investment. Today, we find ourselves at a crossroads. Over the past four years, we have invested $400 million in expanding our 4G network. 4G allows users to do almost anything on mobile internet, and I believe it provides a strong baseline to operate from.

Now, we need to do much more than that. One of our main goals is to transform the business into what we call a digital operator. Within VEON, this is sometimes referred to in investor materials as DO (Digital Operator).

1440—that’s the number of minutes in a day. How many companies can actually engage a customer every single minute? Only a mobile phone can. I sometimes realize that it is probably the device I use most—far more than my laptop, tablet, or TV.

Especially on a 4G smartphone, it has become a gateway to the world. We already provide connectivity, but what else can we offer? We have developed—and will continue to develop—what we call verticals. It’s an internal industry term, but essentially it refers to digital solutions.

First, there is Toffee. One of the primary uses of a mobile device is entertainment, whether it’s sports, series, or other content. The second area we are actively developing is mobile financial services. In Bangladesh, nearly half the population lacks access to banking services—almost unimaginable in this day and age.

These services are also important for the government and society. Successful societies make essential services more accessible, which benefits not only customers but also allows the government to track and manage them. This makes systems fairer and more efficient for everyone. We are also focusing on education and health—other verticals we are actively pursuing.

Another initiative we have developed and carved out separately is RYZE, an AI-driven telecom solution for young people. We believe it plays a crucial role in helping students and youngsters succeed, giving them a window to the world.

Over the next five years, what are Banglalink’s key strategic priorities for investment?

Our first priority is providing an even better mobile experience, combining superior connectivity with high-quality service. This includes enhancing network coverage and delivering services through our verticals.

We will also be investing significantly in developing financial solutions. In addition, we are creating solutions in health and are committed to providing accessible educational services, helping people achieve better lives.

And what are the challenges to achieving these goals?

There are two main challenges. One of the biggest hurdles for the industry today is taxation. If there were a Champions League or a Guinness World Record for taxation, this industry in Bangladesh would be winning it. About 65 to 70 percent of every BDT 100 we receive from a customer goes immediately to the government, leaving only BDT 35 to invest in and run the business. This makes operations difficult and is one reason the industry is struggling. Taxation is hurdle number one.

The second challenge is regulation. Regulators face increasing difficulty keeping pace with rapid technological changes, especially with AI transforming information flow. For example, knowledge about healthcare doubled every decade in the past; today, it is doubling every day due to AI. This fast evolution makes regulation challenging. Currently, regulation feels fragmented, which limits the opportunity to scale and invest—and scale is essential in this business.

That said, we have seen some positive initiatives over the last three to four months from regulatory bodies and other government institutions. The industry would welcome further reforms and a review of the taxation system.

Last week, GSMA, a global telecom group, released a report benchmarking spectrum costs—a major expense for telcos. Spectrum costs vary by country. Some nations make spectrum affordable, encouraging telcos to invest and provide better services, which benefits consumers and the broader economy. Other countries treat spectrum as a short-term revenue source, making it difficult for operators to invest. High taxation combined with costly spectrum creates a significant challenge.

Investors value predictability. They evaluate opportunities globally and use vendor matrices to determine where to invest. High taxes and regulatory uncertainty raise the risk profile.

Having said that, we have engaged in extensive discussions with VEON, our shareholder, which remains committed and excited about investing in Bangladesh. Beyond the $400 million already spent, we have substantial investment planned in the coming years to drive the business forward. There is untapped potential on one side and tremendous opportunities for society to gain more from what we provide today as a group.

Recently, two operators introduced 5G in Bangladesh. Considering concerns about internet speed, what is Banglalink’s roadmap for 5G?

Fun fact: 6G is more or less around the corner. It is currently being tested in labs and is slated for operational deployment by 2030. 6G is expected to offer speeds 10 to 100 times faster than what we have today.

At present, the experience of data speed is extremely variable, depending on multiple factors. Mobile networks are dynamic by nature—performance fluctuates with network load.

There is a myth that 5G will make everything better. In Bangladesh today, the performance of 4G networks can still be significantly enhanced. First, by supplying the right amount of power to base stations. Second, by simplifying permits for building base stations where needed. Third, by improving backhaul, which requires a separate license. These measures would dramatically improve 4G performance.

Regarding 5G, we believe it is a bit early for the country. It may not necessarily deliver a better experience because it currently operates on the same spectrum and is not a standalone network. Technically, there are two types of 5G: non-standalone and standalone.

Non-standalone 5G provides only marginal improvement if the 4G network is already strong. Standalone 5G is a separate network—like going from a propeller plane to a jet plane—with a clear difference in user experience.

Based on our analysis, 5G currently makes sense primarily for large corporate enterprise solutions. For instance, we previously used a standalone 5G network at the port of Singapore, where container movements were robotic. In that case, 5G was not about speed but about latency—the lower the latency, the more precise the operations. This is a specific, industrial use case for 5G.

Globally, 5G has been heavily hyped, but in many countries it has delivered little beyond 4G. Our philosophy is always customer-first. Ideally, Bangladesh could leapfrog from 4G directly to 6G, potentially with satellite overlay.

This would allow coverage for all use cases, particularly in areas where coverage is currently limited. Without coverage, speed alone is meaningless. Many areas of the country still have suboptimal connectivity.

When it comes to 6G, tangible improvements in speed will only be noticeable when multiple devices are connected and streaming simultaneously. The analogy I shared with our team last week is this: it’s like selling someone a Lamborghini and then trying to drive through the streets of Dhaka.

Bangladesh still faces a considerable digital divide. What role is Banglalink playing in narrowing this gap?

We plan to do much more. Let me explain. There are two main hurdles contributing to the digital divide today.

The first, and the biggest, is device accessibility. The price difference between a 2G and a 4G device remains prohibitive for many people. Making 4G devices more affordable is a priority, and this is something we will address very soon.

The second hurdle is ensuring that people can access services anytime, anywhere. For example, during rainfall in some regions, we experience immediate power disruptions at base stations. While all our base stations have batteries to operate for 8 to 10 hours, power outages often last longer than that.

It is essential to ensure that the infrastructure supports continuous data and voice connectivity. This challenge also points to the potential role of new technologies, including satellite solutions, to strengthen the network and maintain service reliability.

How will these initiatives contribute to socio-economic development?

Quite significantly. As an industry, we have a role to play. If people are asked what they remember about Banglalink, many will think back almost 20 years. They will recall a memorable commercial where a fisherman realized he could call someone to sell his fish—a simple 2G feature phone at the time. It was very emotional.

Today, our vision is that anyone with a 4G phone not only has access to the internet but also to digital solutions that can improve their lives.

There is enormous potential: marketplaces people can tap into, supporting insurance, mobile financial solutions, and virtual healthcare. I see a mobile device with a good internet connection as a gateway to the world—a gateway to solutions. With the right tools, there is so much more we can accomplish.

How does Banglalink envision its digital financial services creating meaningful impact by empowering customers, driving inclusion, and making everyday transactions simpler and more convenient?

It is remarkable how mobile financial solutions and digital banks can make a difference even in advanced countries. What we aim to do is simplify the process significantly, making it even more accessible. Until three or four years ago, even in a country like Singapore, people often had to visit a physical bank branch to open an account. Today, individuals can open a bank account within minutes and receive a virtual credit card. This reduces costs for both customers and banks.

Mobile financial solutions also enable smarter, real-time, and cheaper transactions—they work seamlessly.

In addition, they allow banks to offer micro-credit. Telcos know their customers—the devices they use and their usage patterns—so they can match clients to suitable loan options. This creates opportunities for people across society. These are just a few examples of how digital financial services can empower customers and drive inclusion.

You already mentioned policy predictability. How are current licensing frameworks, taxation, and government policies influencing Banglalink’s ability to grow?

Any shareholder or company prefers a regulatory regime that allows sufficient control over the business. In Bangladesh, it is unusual to operate in an industry where licenses are split between fixed, mobile, international gateways, and so on. In most other countries I’m familiar with, licenses are end-to-end. Here, fragmentation makes it difficult to maintain end-to-end control of service, due to dependence on other parties. This adds both cost and complexity. Countries that execute successfully usually have end-to-end control, which is crucial for ensuring service quality and reducing costs.

Returning to the earlier point on total taxation, the GSMA report provides interesting insight. The indirect impact of telecom on GDP growth—by enabling other businesses—is often underestimated.

Countries like Korea and Singapore have been aggressive in rolling out fixed broadband, essentially fiberizing the entire nation ahead of others. They recognized that robust telecom infrastructure carries vast amounts of data and provides superior services to customers and businesses, enabling global competitiveness. This approach applies to both physical and digital infrastructures.

High taxation, however, makes such investment challenging. Shareholders may choose to invest elsewhere. Some countries also impose additional import duties, which can limit economic growth rather than foster it.

Artificial intelligence, for instance, requires significant bandwidth and data. China’s efficiency—producing quickly, cheaply, and effectively—is driven by AI. They use models and agents to steer machines. This does not require a state-of-the-art data network; it can already be accomplished on a 4G network today, provided there is sufficient spectrum and robust backhaul.

Beyond expanding networks, what is Banglalink doing to unlock opportunities for the next generation, whether through youth employment, skill training, or building a digitally capable workforce for the future?

We do a lot, and we can still do more. One initiative I’m particularly proud of is our SAP program. Each year, we hire talented university graduates and provide them a fast track for career development. They rotate through different roles within the company. We also have a parallel track encouraging young women to enter the workforce, gain experience, and grow professionally.

I still believe we can expand sustained training and coaching programs, and this is something we will focus on.

We also run numerous CSR initiatives, working with schools and underprivileged students. My dream is to scale these programs to make a bigger impact. We are already enabling greater internet access for these students, and I would like to see this expanded further.

In addition, we focus on sustainability. The telecom industry requires substantial energy, so we have progressively “greenified” our base stations. Wherever feasible, we install solar panels. This approach not only provides resilience during power outages but also benefits the environment. Our goal is to become more self-sufficient in energy.

Recently, we carried out an extensive tree plantation initiative involving all our staff. These are just a few examples of the steps we are taking to create opportunities for the next generation while promoting sustainability.