Digitally Delivered Services need policy boost for optimal growth

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Experts at a virtual dialogue recently emphasised addressing the gaps in policies to enhance digital inclusion since inadequacy in the ICT policies contributes to weak internet infrastructure in the country. The National ICT Policy of Bangladesh does not provide clear strategies for digital inclusion in terms of ICT access, use and skills. The country’s volume of trade in digitally delivered services (DDS) has increased eightfold from $599 million in 2005 to $4,005 billion in 2019. Bangladesh’s trade in the DDS as a share of GDP fares much lower compared to neighbouring countries due to policy inadequacy.
Neighbouring India and Sri Lanka featured a much larger share of digitally-delivered services trade accounting for 7.7 per cent and 3.3 per cent of their respective GDPs in 2019. Bangladesh’s trade in the DDS was at 1.3 per cent in the same year as share of the GDP. Bangladesh ranks low in digitalisation and digital trade related indicators. Internet costs are high in Bangladesh resulting in a low internet usage rate. Cost of mobile data in the country is nearly seven times higher than that in India. ICT policies need to be revised though a bottom-up approach through participation of the grassroots and relevant stakeholders.
About 22,000 IT students graduate every year in the country but they do not have the required skills. That is why they have to go through a training process for three to six months and then they become employable. This is the gap between the academy and the industry. We need to incorporate those training and skills development within the four-year academic curriculum. The problem is that the services we want to provide digitally actually need a high-speed broadband network. Ad-hoc policies would not enable the required digital transformation. There has to be a national comprehensive digital transformation strategy. The government should come up with required policy support to support tech companies and start-ups.

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