ICT Journey of Bangladesh. Presented by Mostafizur Rahman Sohel Joint Secretary General

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1 ICT Journey of Bangladesh Presented by Mostafizur Rahman Sohel Joint Secretary General

2 Brief History of ICT in Bangladesh Year 1964 IBM mainframe 1620 series- the first computer in Bangladesh In 1979, a computer center was established at BUET In the late 1980s, The use of personal computers witnessed a rapid increase In 1983, the Ministry of Science and Technology established a National Computer Committee to create the required policies. In 1985, the first Bengali script in computers was invented In 1988, the committee was replaced by the National Computer Board. In 1990, the ministry reformed the board and reconstituted it as the Bangladesh Computer Council to monitor computer- and IT-related works in the country. In 1995, use of the Internet began and locally made software started to be exported In 1997 BASIS as the national trade body for software and IT service industry.

3 Story of Transformation: Technology Adoption Rate Year million Mobile subscribers 84% Penetration 98% Geographic & 99% Population GSM Coverage A staggering 400% growth in power sector since 2009: 14,000 MW Capacity 56 million Internet subscribers 35% Penetration 3

4 Major Investment from

5 The Industry is composed of over firms of which 1053 are BASIS members Market size 40+ ODC (Offshore Development Centers) & Joint Ventures started working US$ 650 million last year (excluding the telecom sector) Export grew at a CAGR of 25% in the last 6 years Software export is about 300 million in Current Industry Data

6 Endorsement by International Think Tanks AT Kearney GSLI 2016: 22nd rank among Top 50 (Ranked 2nd in financial attractiveness category) Boston Consulting Group (BCG) Fastest Growing Consumer Market Gartner Bangladesh among top 30 Outsourcing destinations Elance Odesk (October 2013) 3rd most popular for outsourcing from the OECD countries Goldman Sachs Next 11 after BRIC JP Morgan 1 of the Frontier 5

7 Broad Objectives of BASIS Domestic Market Development Member service development and delivery International Market Development Advocacy Capacity Building Social Contribution

8 Early successes of BASIS Policy reforms Skilled HR development and Job creation Capacity building of member companies Industry growth Improving governance and facilitating inclusion Industry branding

9 NTF III in Bangladesh OUTPUT 1: Capacity of partner TSIs (BASIS and DCCI) in providing services to SMEs in the IT and ITES sector improved OUTPUT 2: Export capacities of SMEs (40 companies) in the IT and ITES sector improved OUTPUT 3: Business linkages and technical partnerships created and/or expanded

10 Challenges Lack Of Affordable IT Infrastructure Access To Finance Language Barriers Enforcement Of Policy Gap Between Industry-academia Industry Branding

11 Wait, why do I need to pay for Software? The computer seems to work fine without it!

12 Wait, why do I need to pay for Software? The computer seems to work fine without it! Is it worth the money spent for automation? Annual turnover of my company doubled this year without going automated.

13 Applications Using Basic Smart phones mcommerce ecommerce Social Media Search engine Communication Vehicle tracking elearning Mobile banking And many more

14 As per a 2009 study by Boston Consulting Group and Telenor, by 2020, there will be 18.3 million internet subscribers in Bangladesh, equaling approximately 10 subscribers per 100 inhabitants. As of February 2016, number of internet subscribers in Bangladesh stand at million.

15 Businesses based on Mobile and internet mcommerce 13 million mobile finance accounts bkash world s second biggest mobile phone payment company after Kenya s M-Pesa Handles over USD 1 billion transactions per month With up to 20 million people fcommerce In Bangladesh, 1 subscriber is added to Facebook every 3.72 seconds Rise of young entrepreneurs Growing participation of women Doing business in the comfort of home Less or no investment needed

16 Target Group 55% Female 45% Male Market scenario Annual Value of Ecommerce 200 Crore 85% user <30 Years Monthly Growth in e-transaction 30 % *The Daily Star E- commerce Report: March 2015 *Pi Strategy Research 90% 15% user 30 Years+ Lives in Dhaka 500+ E-commerce sites F-commerce platforms

17 Support to SMEs and Micro Businesses 8 million registered SMEs Countless unregistered SMEs are still untouched 80% of the population have mobile connections Rooms of development Integrate internet and mobile apps to make better decisions about timing, marketing and management Apply and adapt IT to the SMEs in rural areas using mobile Induce automation using mobile

18 Bangladesh in Digital Channels Call to Action Rural development with internet penetration Country wide IT training Promote internet income Language skills training centers across the country

19 Thank You!

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