ISPs demand Tk 610cr in aid
The Internet Service Providers Association of Bangladesh (ISPAB) has demanded Tk 610 crore from the government to ensure the industry's survival from the ongoing coronavirus pandemic.
In a letter to Telecom Minister Mustafa Jabbar issued on Saturday, the ISPAB urged the government to help pay the staff wages and office rent of member companies for the next six months, according to ISPAB President Aminul Hakim.
Around Tk 800 crore will be required to pay employees over the next six months but the ISPAB will allocate only Tk 400 crore from their total demand for that purpose.
The remaining Tk 210 crore will be set aside for office rent, Hakim told The Daily Star yesterday.
"At least one third of our business has gone away as corporate houses have disconnected their connections on a massive scale," Hakim said.
Besides, the service providers have been unable to collect bills from private users due to the current lockdown.
"My company has collected hardly 20 per cent of its dues because most people say they will pay later. If we deny their request, they opt to discontinue their connections," he added.
The ISPAB prepared their demands after collecting cost estimations from 72 nationwide, 100 zonal and 572 local ISPs.
Currently, there are 2,500 ISPs in operation, employing about two lakh individuals throughout the country.
The ISPAB also demanded the withdrawal of VAT on internet services and the suspension of revenue sharing with Bangladesh Telecommunication Regulatory Commission (BTRC).
People in Bangladesh annually spend about Tk 10,000 crore behind internet services.
There are nearly one crore active broadband connections in the country at the moment. Two thirds of this business comes from corporate connections while the data connections of banks and other financial institutions make up the rest.
Since these corporate houses and financial institutions are now closed or operating on a limited scale due to the nationwide general holiday, the ISP industry is suffering, Hakim said.