IT AND ITES INDUSTRY OVERVIEW

Transcription

1 IT AND ITES INDUSTRY OVERVIEW

2 IT AND ITES INDUSTRY OVERVIEW Digital Bangladesh is an integral part f the gvernment s Visin 2021-which prmises a prsperus and equitable middle-incme Bangladesh by its glden jubilee f independence. Hnrable Prime Minister Sheikh Hasina has utlined the Digital Bangladesh having fur key pririties: i) develping human resurces ready fr the digital age; ii) cnnecting citizens in the ways mst meaningful t them; iii) taking services t citizens drsteps; and, iv) making the private sectr and market mre prductive and cmpetitive thrugh the use f digital technlgy. ICT is the backbne f any digital initiative and it cvers the vast area f infrmatin technlgy, cmmunicatin technlgy and the telecmmunicatin technlgy. The cuntry is successfully leveraging this rising penetratin and has earned $800 millin in 2017 by exprting ICT prducts and services. On tp f these, the ttal number f Internet Subscribers has reached millin at the end f December, 2017, can be seen as a cnsequential blessing f the recent prgressive steps taken by the present gvernment and the grwing ICT sectr. Gvernment Supprt t IT Gvernment has frmulated a radmap fr develpment in ICT in The activities are clustered in six categries: industry, infrastructure, e-gvernance, human resurces develpment, labratries and services. The radmap fr the industry has set targets t generate 1,000 innvatins, raising sftware exprt earnings t USD 5 billin by 2021, develping an ec-system fr the gaming industry etc. Mrever, innvatin and entrepreneurship academies will be set up. The gvernment has identified 100 aspects f the judiciary where ICT can be harnessed and assist in the reslutin f 3 millin cases currently in backlg. The cnstructin f 554 Business Prcess Outsurcing centers underway and that 2,100 Sheikh Rasel Digital Lab and Language centers ut f 2,972 have already been built. 7 year tax hliday fr registered IT cmpanies The BPO has set a gal t cnnect ver 3 crers unbanked peple with the banking system this year by the digitized Daak Taka which nly requires Tk 2 t pen an accunt. ICT exprter s get 10% cash incentive pprtunities frm July Digital Security Under the law, the gvernment wuld set up and als has taken sme belw mentined initiatives, Wrld standard frensic lab Cnstitute a Cyber Security Agency Establish cyber incidents respnsive team

3 A high-level digital security cuncil The gvernment in cllabratin with cyber security and tech giants has successfully rganized an internatinal cyber security cnference in the capital n 9th March 2017 aims at taking a crdinated initiative t prevent and check the alarming rise f cyber-attacks. BGD e-gov CIRT launched Mbile app fr reprting cyber security incidents t Bangladesh gvernment Cmputer Emergency Respnse Team. It is free, easy-t-use, and suitable fr users f Andrid phnes. The app will transmit the reprts frm users via secure Internet cnnectin t the incident handling team wh will then cntact the users r cmplainants t assist in reslving the incidents. ICT Infrastructure T supprt the develpment f the ICT industry, Bangladesh Hi-Tech Park Act was passed in Subsequently, Bangladesh Hi-Tech Park Authrity (BHTPA) was established in 2010 fr creatin, management, peratin and develpment f hi-tech parks acrss the cuntry. Mst imprtant and tp pririty prjects are Kaliakir Hi-Tech Park Jessre Sftware Technlgy (IT) Park Sylhet Hi-Tech Park Mhakhali IT Village Janata Twer Sftware Technlgy Park Barendra Silicn Valley, Rajshahi. Bangladesh s first university based incubatr is being established at the campus f Chittagng University f Engineering and Technlgy (CUET). Gvernment has initiated plan t establish Sheikh Kamal IT Trainings and Incubatin Centre at the divisinal level ICT incubatr f BDBL Bhaban at Kawran Bazar in Dhaka the first sftware technlgy park f the cuntry and the under-cnstructin park in Janata Twer, which is als at Karwan Bazar, will be the secnd. The IT service industry, which emplys mre than 20,000 peple, hlds great ptential. The sectr serves bth dmestic and internatinal clients frm Eurpe, Nrth America and East Asia. Sheikh Hasina Sftware Park, pened in Jessre n Sunday, December 10, 2017 Prmte Ecnmic Grwth Bangladesh is nw cnsidered t be amng the next high prspect destinatins in the segment, with acclades frm AT Kearney, Gartner, Gldman Sachs and a hst f thers.

4 In budget fr FY , the tax waiver n incme frm sftware and ITES has prpsed t be extended t 2024 frm June 30, 2019 nw -- in line with the gvernment's Digital Bangladesh visin. Ttal earnings f the industry in FY were USD 650 millin, ut f which exprts amunted t USD millin (surce: EPB). Exprt earnings frm the ICT sectr std at abut $ millin in FY. (surce: EPB) Over 400 IT cmpanies currently exprts t ver 60 cuntries, with Nrth America being the main destinatin. The size f Bangladesh s e-cmmerce market is estimated t be $ millin (arund Tk 900 crre) this year, grwing frm $65-70 millin in 2016, said the reprt referring t RedSeer Cnsulting. And currently, the ptential market fr nline shpping is abut Taka 2,000 crers. The prspects f the sectr have cmpelled the gvernment f Bangladesh t set a target f USD 1 billin exprt earnings by 2018.With current trend f exprt, capacities and available resurces, the target ntches up USD $5 billin by In 2016, wrld's leading management cnsultancy firm AT Kearney reprted that, due t ntable grwth in IT utsurcing, business prcessing utsurcing (BPO) and sftware develpment, Bangladesh has secured 22nd place in Glbal Service Lcatin Index (GSLI). Surce: AT Kearney Outsurcing Destinatin Rankings 2016

5 In 2017, wrld's leading management cnsultancy firm AT Kearney reprted that, due t ntable grwth in IT utsurcing, business prcessing utsurcing (BPO) and sftware develpment, Bangladesh has secured 21nd place in Glbal Service Lcatin Index (GSLI). Surce: AT Kearney Outsurcing Destinatin Rankings 2017 Significant Achievements Bandwidth capacity f submarine cable has been already raised t 200 GBPS frm Anther 1600 GBPS will be added by February Apprximately, 3, 00,000 IT and ITES prfessinals with majrity IT and ther graduates are currently emplyed in the industry. Lcal industry's revenue generatin f US$ billin in 2017 (Surce: Everest Grup, December 04, 2017). Hwever. BASIS Research (Latifee & Hira, May 2017) shws that the lcal market size fr ICT sectr in 2017 was US$ 1.18 billin. E-gvernance Prgress Bangladesh has climbed up 24 places in United Natins E-Gvernment Develpment Index. The cuntry has secured an impressin leap upward t the 124th psitin in 2016 frm 148th in Mre than 200 services have been prvided t the peple thrugh 5, 275 digital centers established all ver the cuntry Over 25,000 web sites including thse f upazilas, districts, divisins, departments and directrates have been added t natinal web prtal Natinal Enterprise Architecture (NEA) is being built by the Gvernment t facilitate interperability and peratin f e-gvernance activities.

6 Skill Develpment Leveraging ICT fr Grwth, Emplyment & Gvernance (LICT) Prject Ttal 75,000+ Yuth t be trained ver next three years 10,000 Tp-up Training 20,000 Fundatin Skills Training Prgram 20,000 Online Outsurcing Training Under the Skills fr Emplyment Investment Prgram (SEIP), ttal 1.25 millin Yuth t be trained by 2021 Under the Supprt t Develpment f Kaliakair Hitech Park prject, 4,981 yuths have received ICT training. T increase self-dependency, Learning and Earning prject is wrking n creating 55,000 freelancers. Under the Bari Bshe Brlk (Getting Rich At Hme) prject, 14,750 yuths have been trained as freelancers f whm 70 percent are wmen. Bangladesh Hi-Tech Park Authrity (BHTPA) has imparted trainings t arund 6,500 yuths in different areas f Infrmatin and Cmmunicatin Technlgy (ICT). Arund 6,500 yuths s far t enable them t get emplyment capitalizing n their skills in the field f ICT. Of them, arund 4,700 trainees have already gt jbs under Emplyment Incentive Prgram. Sftware and IT Industry at a Glance N. f registered ICT Cmpanies: 4,500+ N. f BASIS Member Cmpanies: 1,031 Demand fr sftware in the lcal market: US$ 1.18 Billin N. f IT/ITES Prfessinals: 3,00,000 (appr.) Market value f IT/ITES: US $400+ (Ministry f Finance Prfessinals: 3,00,000 (appr.) Market value f IT/ITES: US $400+ (Ministry f Finance) ITES 44% 56%

7 /BASIS.BD Abut BASIS Natinal Trade Bdy fr Sftware & ITES industry f Bangladesh Members exprting in 60+ Cuntries Apex trade bdy f the sectr with members rganizatins cntributing T develp a vibrant Sftware & ITES industry in bangladesh Be a prud BASIS member & get the best services Participate in Natinal & Internatinal events with DISCOUNTED FEES Internatinal payment thrugh Credit Card supprt Crprate Tax Exemptin facility up t 2024 ERQ Accunt facility Access t SME lan fund & Equity Entrepreneurship Fund Supprt fr Organizatinal Capacity Develpment Legal & Advcacy Supprt thrugh Wrkshps & Seminars Venue Rental Facilities at BASIS Auditrium, Lunge and Bard Rm Member Privilege Card