[🇧🇩] ICT Industry in Bangladesh

[Saif]

The need for cybersecurity education in Bangladeshi universities

Institutions must equip students with skills to steer through the cyber world's complexities.

www.thedailystar.net

The need for cybersecurity education in Bangladeshi universities

Inside MIST's Cyber Range.Photos: Javed / MIST Cyber Security Club

It's 2024 and in this digital age, cyber awareness should start from one's educational institution. Here, universities play a major role. These institutions must equip students with skills to steer through the cyber world's complexities.

However, a significant challenge is the lack of real-time exposure to cyber threats. The Military Institute of Science and Technology (MIST) addresses this with the "Cyber Range", a cutting-edge cybersecurity training facility, one of the first of its kind in Bangladesh. This facility, under the Center for Advanced Computing and Research (CACR), simulates attack scenarios, fostering hands-on experience critical for effective cybersecurity training.

One compelling reason for integrating cybersecurity education into the academic curriculum is the growing concern of cybercriminals targeting educational institutions. Universities store a vast amount of sensitive data, including student records, research findings, and intellectual property. Without adequate cybersecurity measures, these institutions become prime targets for malicious actors seeking to exploit vulnerabilities for financial gain or to compromise valuable information.

Moreover, as the job market becomes increasingly digitised, employers are placing a premium on candidates with cybersecurity skills. Hence, universities have the responsibility to bridge the gap between theoretical knowledge and practical application by offering courses and workshops that dig into advanced cybersecurity practices. This not only enhances the employability of graduates but also contributes to the nation's overall cybersecurity resilience.

Easin Arafat, the president of the MIST Cyber Security Club says, "Cyber threats are a global concern, and Bangladesh is not an exception to this. If we don't educate students about the various kinds of cyberattacks, like ransomware attack, phishing, malware attack, etc., our digital presence can't always be a secure one."

Moreover, "Capture the Flag" exercises – popularly known as CTFs – can be a fine way to polish your skills in cybersecurity. The Director and the Patron of MIST's CACR, Brig Gen Md Towhidul Islam takes pride in MIST having already hosted few of the biggest national and international events in the field of cybersecurity in Bangladesh namely through events like the "Leetcon" – one of the first int'l cybersecurity conferences in Bangladesh, Flag Hunt 2023 – a national CTF competition, FI and Critical Information Infrastructure cyber drill – a drill for cyber analysts and experts from around 30 esteemed banks of Bangladesh, and so on.

Brig Gen Md Towhidul says, "A vital component of combating the escalating risks in the digital sphere is cybersecurity education in institutions. Universities can provide students with the information and abilities necessary to confront the intricate problems of cybersecurity and make a positive impact on a more secure digital future by taking a full and proactive approach to education."

In conclusion, the urgency of incorporating cybersecurity education into Bangladeshi universities' academic fabric cannot be overstated. The digital age demands an educated and aware generation for a cyber-resilient future.

Fatima Ashraf is a Campus Ambassador for The Daily Star from Military Institute of Science & Technology (MIST).​

 

[Saif]

Submarine cable breakdown disrupts Bangladesh internet

It will take at least 2 to 3 days to resume the connection

www.thedailystar.net

Submarine cable breakdown disrupts Bangladesh internet
It will take at least 2 to 3 days to resume the connection

Representaional photo: Collected

Internet users in Bangladesh are facing disruption as the country's second submarine cable SEA-ME-WE 5, the largest supplier of international bandwidth to Bangladesh, broke last night.

The disconnection was identified at last midnight. It will take at least 2 to 3 days to resume the connection, Mirza Kamal Ahmed, managing director of the Bangladesh Submarine Cables PLC (BSCPLC), told The Daily Star.

International bandwidth usage in Bangladesh now stands at around 5,200GBPS. More than half of it -- about 2,700 Gbps -- comes through international terrestrial cable (ITC) licence holders that import bandwidth from India across land borders.

The South East Asia-Middle East-Western Europe 5 (SEA-ME-WE 5) submarine cable installed in Kuakata supplies 1,700GBPS.

The undersea cable of the SEA-ME-WE 5 got broken in a spot between Singapore and Malaysia, he said.

For that, all circuits of all members of the consortium got down, he added.

"So, a ship will be mobilised to repair and restore the service. Total operation will take minimum 2 to three days," he added.

The SEA-ME-WE 5 is a 20,000km submarine cable system connecting 17 countries through Points-of-Presence from Singapore to the Middle East to France and Italy in Western Europe.

The cable that laid in the eastern side that connected Singapore got broken, while the connectivity in the western side that connected France remained operational, he added.

For that, of 1700Gbps bandwidth comes through the system, only 100 GBPS bandwidth will be supplied to Bangladesh.

The BSCPLC is now exploring ways to restore the circuits of SEA-ME-WE 5 with SEA-ME-WE 4, the country's first submarine cable installed in Cox's Bazar.

Nearly 800 Gbps bandwidth is provided by the first undersea cable with which Bangladesh was connected in 2006. It currently supplies about 850 Gbps bandwidth and its capacity has recently been upgraded to 3,800 Gbps.

The first undersea cable with which Bangladesh was connected in 2006 currently supplies about 850 Gbps bandwidth and its capacity was recently upgraded to 3,800 Gbps.

The BSCPLC is set to receive 13,200 Gbps from a third undersea cable, SEA-ME-WE 6, by 2025.

Md Emdadul Hoque, president of the Internet Service Providers Association of Bangladesh (ISPAB), said the cable cut of the second submarine cable will severely affect internet service for almost a week.

"Some of our customers have already started complaining about slow interest and high latency," said ISPAB president.

However, officials of mobile operators said their internet services have so far remained unaffected.

"We are monitoring the situation closely. We are working with our partners International internet gateway operators to continue smooth service," said Shahed Alam, chief corporate and regulatory officer at Robi Axiata.

"As it is a holiday today [Saturday], the demand for the internet is low. Our customers may face disruption from tomorrow [Sunday]".

Submarine cables are crucial for internet bandwidth because they enable high-capacity data transfer between continents, supporting global communication, online services, and international connectivity essential for modern digital operations.​

 

[Saif]

Internet slowdown across Bangladesh may persist for a month

Internet users across Bangladesh have been experiencing a slowdown for the past four days as repair work on the country’s second submarine cable South East Asia-Middle East-Western Europe 5 (SEA-ME-WE-5), which was recently damaged, has yet to be completed. The repair work of the cable will

thefinancialexpress.com.bd

Internet slowdown across Bangladesh may persist for a month
Published :
Apr 23, 2024 20:00
Updated :
Apr 23, 2024 20:00

Internet users across Bangladesh have been experiencing a slowdown for the past four days as repair work on the country's second submarine cable South East Asia-Middle East-Western Europe 5 (SEA-ME-WE-5), which was recently damaged, has yet to be completed.

The repair work of the cable will persist until the last week of May, according to Bangladesh Submarine Cables PLC.

BSCPLC's General Manager (Operation and Maintenance) Saidur Rahman said the cable, SEA-ME-WE-5, broke down in the Indonesian sea coast area on Saturday, reports bdnews24.com.

"Administrative work there takes a little longer. The authorities said the repair work could be completed in the third or fourth week of next month."

When asked about the suffering of people due to the internet slowdown, Rahman said, "All alternatives are not fully effective yet. The country's first submarine cable, SEA-ME-WE-4, is capable of carrying full bandwidth. The concerned company will have to pay extra for this, which is still not decided. Efforts are underway to act on some other options."

Internet bandwidth in Bangladesh comes mainly through two submarine cables running through the deep sea. The first submarine cable, SEA-ME-WE-4, is installed at Cox's Bazar while the second one, SEA-ME-WE-5, is at Kuakata.

The second cable broke down around 440 kilometres away from Singapore's western coast around midnight on Saturday, the BSCPLC had previously said in a statement.

"All Kuakata-Singapore bound traffic through the cable is closed now. Measures are being taken to repair and reconnect the cable through the SEA-ME-WE-5 consortium."

"Though the services through the SEA-ME-WE-5 cable are closed now, the internet services are being provided across the country through the SEA-ME-WE-4 and other ICT organisations," the BSCPLC statement read.

"A significant amount of bandwidth from the disconnected one is being shifted to the SEA-ME-WE-4 cable. However, the customers may experience slowdowns until the SEA-ME-WE-5 is repaired and operational again."​

 

[Saif]

Seamless internet not before end of May

The maintenance works of SEA-ME-WE 5, through which Bangladesh avails the largest chunk of international bandwidth, will take about a month, prolonging woes over the lack of a smooth broadband internet service in the country.

www.thedailystar.net

Seamless internet not before end of May

Photo: Freepik

The maintenance works of SEA-ME-WE 5, through which Bangladesh avails the largest chunk of international bandwidth, will take about a month, prolonging woes over the lack of a smooth broadband internet service in the country.

Bangladesh Submarine Cables in a press release said the maintenance work of the cable would conclude on the last week of May.

The cable, which was installed in Kuakata connecting Bangladesh with Singapore, snapped at midnight of April 27.

"…The country's second submarine cable (SMW-5) was accidentally severed in Indonesian waters west of Singapore. The SMW5 consortium has already undertaken the repair of undersea cables in Indonesia," said Bangladesh Submarine Cables.

"According to the latest information of the consortium, the maintenance work of the cable will be completed in the last week of May 2024, subject to obtaining permission from the relevant authorities in Indonesia," it said.

It may be noted that preparations have been completed from Bangladesh Submarine Cables to transfer about 1600 Gbps bandwidth of SMW-5 to SMW-4, the first submarine cable of the country,

Customers (International Internet Gateway companies) have started the process of connecting their circuits as per demand through Bangladesh Submarine Cables.

The Bangladesh Submarine Cables authorities sincerely apologised for the temporary inconvenience, it added.​

 

[Saif]

IMF for end to tax break for IT sector

Breaking News, International News & Multimedia

thedailynewnation.com

IMF for end to tax break for IT sector
29 Apr 2024, 2:24 am

Staff Reporter :

The International Monetary Fund (IMF) has proposed discontinuing the tax exemption facility for the information technology (IT) industry, which is scheduled to end in June 2024.

The visiting delegation of the multi-national lending firm came up with the proposal in a meeting with the high officials of the National Board of Revenue (NBR) at the latter's office in the city on Sunday.

The other proposals of the global lender are abolishing tax breaks on clothing, footwear, LPG, and mobile phones, which may increase revenue by 0.31 percent of GDP.

It also suggests repealing the depletion allowance provided for mining and petroleum extraction, eliminating or establishing caps on input VAT deductions for entertainment and VAT on meals, and requiring all businesses with turnover greater than Tk 3 crore to be in the standard 15 percent VAT with input tax credits; eliminating their option for truncated VAT.

The global lender also proposed to reform revenue administration for all three wings. With this move, revenue will be raised by 0.15 percent of GDP, the IMF expects.

The NBR officials accepted the IMF proposal; however, they showed dismay against the withdrawal of the exemption facility for all IT services as it may disrupt sector growth, according to revenue board officials.

Experts opined that some facilities should be withdrawn from the IT sector, but others should be continued for security services such as cloud computing and cyber security because now foreign companies have brought huge money from Bangladesh to provide such services.

If the exemption is withdrawn, the income of the respective IT services companies will be subject to a 27.5 percent corporation tax.

An analysis of the NBR showed that now the government gives an exemption worth around Tk 1,477 crore annually to IT services. However, insiders said that if net profit is supposed to be 10 percent, then the local market should be around Tk 50,000 crore to get such an amount of tax expenditure.

According to the Bangladesh Association of Software and Information Services (BASIS), the annual domestic market size in the ITES sector is around Tk 2,000–2,500 crore, but the contribution of the sector to the economy is uncountable and huge, as agriculture, education, health, media, and RMG sectors use technology and earn a notable portion of their income.

BASIS President Russell T. Ahmed told The New Nation, "The sector is facing numerous challenges every moment. If the sector is taxed, it will be a disaster."

"IMF's prescription is theoretical, and they do not understand the situation in our country. However, our governmentis pro-IT services to make the country smart, and there is opportunity to make every sector smarter," he said.

"The sector does not get banking finance, and its raw material is mostly talent. Besides, our talented ones do not get intellectual property. So, if such a move is executed, brain drain will increase as our costs will jump up, we will lose our competitiveness, and imports will rise," Russell added.

Citing NBR's analysis as wrong, he said, "NBR should be smarter in its analysis. A couple of groups of companies take advantage of an exemption facility in the name of their small IT companies. It is the responsibility of the NBR to catch loopholes and evasion, and there is no scope to tax small and medium startups and IT service companies. The sector will be the most USD-earning source after RMG."

In the meeting, NBR officials were informed that they are collecting revenue with just the provisions or laws, but enforcement is not sound yet.

So they want to strengthen enforcement, which will enable them to meet the IMF revenue collection target, the NBR officials who attended said.

They further said the random withdrawal of tax exemptions will have a negative impact on the country's economy.

In a bid to get the third tranche of a $4.7 billion loan from the IMF, the government of Bangladesh should take these policy measures by June this year in line with the global lender's recommendations. Besides, there are 38 conditions to get the full amount of the loan.

In the revenue part, the IMF has stipulated conditions to increase the tax-to-GDP ratio by 0.5 percentage points in FY24, followed by 0.5 and 0.7 percentage points in FY25 and FY26, respectively.​

 

[Saif]

aamra technologies’ entire bandwidth blocked

The IIG operator didn’t share Tk 22 crore revenue in time

www.thedailystar.net

aamra technologies' entire bandwidth blocked
The IIG operator didn't share Tk 22 crore revenue in time

The telecom regulator last week blocked full bandwidth of aamra technologies as the international internet gateway operator failed to pay dues of over Tk 22 crore.

The Bangladesh Telecommunication Regulatory Commission (BTRC) has repeatedly sent letters to aamra, but the company did not clear the dues related to revenue sharing, according to the officials of the commission.

Earlier, 80 percent bandwidth of aamra technologies got blocked in January for the payment.

Earlier, the BTRC even proposed aamra to hand over a down payment of Tk 10 crore and clear the Tk 12 crore in instalments.

Still, aamra failed to pay it, according to the officials.

Aamra Technologies used to supply bandwidth to different clients, including mobile operators.

The operators discontinued taking bandwidth from aamra following a blocking in last year.

In July last year, the commission blocked half of the bandwidth of aamra for an outstanding revenue of over Tk 33 crore. Later, the directive was withdrawn.

The IIG companies operate as international gateways for internet traffic, managing the data flow between the country and the rest of the world, enabling internet service providers and telecom operators get access to the global internet.​

 

[Saif]

ICT is going to be main saviour of economy: Salman

Noting that the ICT sector is going to be the main saviour of the country’s economy in the future, prime minister’s private industry and investment adviser Salman Fazlur Rahman on Sunday advocated for continuing the various tax facilities policy apart from support that the sector is currently...

www.newagebd.net

ICT is going to be main saviour of economy: Salman
Bangladesh Sangbad Sangstha . Dhaka 05 May, 2024, 22:16

Salman Fazlur Rahman. | — New Age file photo

Noting that the ICT sector is going to be the main saviour of the country's economy in the future, prime minister's private industry and investment adviser Salman Fazlur Rahman on Sunday advocated for continuing the various tax facilities policy apart from support that the sector is currently enjoying for further flourish of this sector.

'I'm cent per cent agreed with the ICT entrepreneurs that the existing tax facilities should remain. I still think that the sector is still at the premature stage and it won't be wise to withdraw the existing tax facilities that the sector is currently enjoying. Rather, we've to think of giving more incentives, otherwise challenges will come,' he said.

Salman was speaking as chief guest at a roundtable titled 'Investment Climate for Smart Bangladesh' held at a city hotel.

State minister for posts, telecommunications and ICT Zunaid Ahmed Palak and parliamentary standing committee chairman on the same ministry Kazi Nabil Ahmed spoke as special guests chaired by Venture Capital and Private Equity Association of Bangladesh president Shameem Ahsan. The VCPEAB organised the roundtable.

Ferdous Ahmed, MP and Zara Jabeen Mahbub, MP also spoke as guests of honour.

Agreeing with the various demands of the entrepreneurs of the ICT sector, Salman said that he would discuss with the finance minister and the prime minister regarding the various issues surrounding the industry.

Criticising slightly the National Board of Revenue for imposing more burden on the existing regular taxpayers, the adviser suggested that the revenue board should focus more on bringing in the untaxed people to the tax net.

'Unless the tax collection system is digitalised fully or major reforms are not brought, then the tax to GDP ratio will not increase,' he added.

Mentioning that data is going to be the main asset in the coming days, the adviser urged the relevant stakeholders and entrepreneurs to give more emphasis on AI, data sign, big data management, chip designing, cyber security and establishing a huge data centre.

State minister for ICT Zunaid Ahmed Palak said that the country's IT and ICT sector witnessed massive successes over the last 15 years under the farsighted vision of prime minister's ICT adviser Sajeeb Wazed Ahmed and courageous leadership of Prime Minister Sheikh Hasina.

He urged the PM's private industry and investment adviser to talk with the finance minister and the prime minister about the rational demands of continuing tax facilities in the ICT sector.

The state minister suggested that the higher educational institutions and universities should change their curriculum in line with the changing global context in the ICT sector.

He opined that the existing tax exemption facilities in the ICT sector should continue in the next year while there could be discussions on how to facilitate the sector considering the changing context of FY26, FY31 and FY41.

Palak opined that if the ICT sector receives government's policy support for the next 10 years, then the ICT and the IT enabled services would be the major export-oriented sector in the country.

Kazi Nabil Ahmed, MP said that there was a need to make more energetic and skilled Human Resources to make each and every sector of the country technology-based.

'We've to make a knowledge-based economy to build Smart Bangladesh,' he said, adding that the government and the private sector should leapfrog the initiatives in this sector to make the Smart Bangladesh vision visible.

The ICT policies mainly focuses on data protection and cyber security along with ease of doing ICT business by streamlining tax incentives, including 100 per cent CIT exemption for the ICT/software industry, 10 per cent export subsidies, VAT exemption on local bills during production. Additionally, initiatives to attract foreign investment include 100 per cent tax exemption for income from software development, 2 per cent duty on ICT related hardware imports etc.

The ICT industry emphasizes achieving a $50 billion ICT GDP by 2041, which entails increasing the sector's contribution to the national GDP from less than 1 per cent to 2-3 per cent by 2041.

In his presentation, Shaheem Ahsan said that withdrawal of incentives and policy support would directly impact local and foreign investment, worsen unemployment and brain drain situation, put pressure on currency reserve, increase risk of data sovereignty and national cyber security and increase the cost of automation towards SMART transition.

DCCI president Ashraf Ahmed, CCCI president Omar Hazzaz, CSE chairman Asif Ibrahim, UGC member Md Sazzad Hossain, FBCCI senior vice-president Md Amin Helaly, Policy Exchange Bangladesh chairman M Masrur Reaz, Founder and CEO of Bdjobs Ltd Fahim Mashroor, policy adviser of CRI Imran Ahmed, vice-president of VCPEAB Mohammad Zahirul Islam spoke, among others, on the occasion.

The leaders in the IT industry also have asked for the tax exemption to be extended for three years. They believe keeping this exemption is crucial as removing same will diminish profitability and reduce reinvestment capabilities for IT /ITES companies, resulting in slower industry growth and diminished export potential.​

 

[Saif]

https://thefinancialexpress.com.bd/views/columns/can-the-it-sector-make-it-through-tough-times

Can the IT sector make it through tough times?
AFSAN CHOWDHURY
Published :
May 06, 2024 22:46
Updated :
May 07, 2024 21:31

Global markets are undergoing turbulence and none can say how long they will last or if they will become the way future markets play. The same syndrome applies to Bangladesh as well including the IT sector.

Information technology exports from Bangladesh dropped 4.4 per cent in the first five months -around 225 million dollars- current fiscal year- due to global demand slowdown. But the global reality of the IT sector as the dominant sector remains. In Bangladesh, most experts tend to think in three months or shorter economic cycles but the fact remains that in the global economy the IT sector is the biggest reality and matters more in the long term.

The current state of IT in Bangladesh is beset with problems. Startup funding availability is not great in the short term and European countries are facing a downturn reducing the market size. The fact remains that the global economic future is here even though global outsourcing and hiring is lower this year. Meanwhile, non-European markets are slowly growing and it's inevitable new economies and sources emerge.

Several factors have contributed to Bangladesh's difficulties. It has relied almost entirely on the West that is under pressure due to the Ukraine war and growth of competitive sub-sources affecting Bangladesh as a low end supplier.

The other one is the accepted lack of entrepreneurial spirit inevitable in a crony economy. They look for connections rather than competition-based markets so their innovation index is not high. Thirdly, the sector is yet to have enough skilled hands and the general low focus on skill development has made it worse. While the future is focused on new technology, Bangladeshi companies are looking for a tech duplication of the RMG sector where price is all, not quality.

"Smart Bangladesh", tax exemption and related issues that affect the sector are several. Although the government is pushing for a "Smart Bangladesh", it's still more of a slogan than practical action driven. About Tk 24 billion were allocated last year but no result sheet on impact has been stated.

Smart Bangladesh is supposed to be "Smart Citizen, Smart Society, Smart Government, and Smart Economy. A 'Smart Bangladesh: ICT 2041 Master Plan' has been prepared. It's estimated that there are over 2,500 startups in Bangladesh with approximately at about $1 billion investment. Around 2 million people may be involved directly or indirectly. The government has promised to invest Tk 5.0 billion.

However, a key factor has been tax exemptions for the IT sector which may end this June. Entrepreneurs are demanding its continuation for another seven years. This exemption coming as it does with a weak performing phase is going to be blow to the sector they are saying. That tax exemption played a major role is obvious as the number of players rushing into the sector was high. Low or no tax exemption will ultimately increase the cost of ICT-related products.

"What ails thee BD IT?" is a question many ask. Bangladesh doesn't have a robust foreign investment framework or even an adequate IT infrastructure with a skilled workforce

The IT sector can be a turnaround agent for developing countries like Bangladesh, but it needs such as IT-enabled services (ITES), e-commerce, Artificial Intelligence, outsourcing, and the production of software and hardware. However, the backbone is the business framework.

Bangladesh is aiming to reach the $5 billion export-mark by 2025 and $20 billion by 2031. By 2025, 3.0 million youths will be employed in the country's IT industry. They need a host of missing links in place first.

No one seems keen to face the fact that shortage of highly skilled professionals is a critical hindrance. Insufficient infrastructure, including reliable internet connectivity and power supply are ailments affecting all sectors.

The regulatory frameworks and bureaucratic procedures deter foreign investment and market for all sectors including IT. Cyber threats and data security vulnerabilities are present and on top of that outfits are not keen to use the formal money channels as dollar rates fluctuate and affect all remittance payments. The sector as a whole is also unused to business competition dynamics.

The GOB has focused more on fiscal issues giving a 10 per cent cash incentive to software exports, aiming to stimulate the foreign exchange-earning segment as in the RMG sector. The exemption of all taxes and duties on imported computer hardware and simplified tax-free export earning remittance procedures with 40 per cent retention in foreign currency have made it more attractive.

But a critical missing factor is the connectivity with other countries in the same sector to see how far they can take advantage of subcontracting. The technologically advanced Asian countries are a big source of market but not yet linked to the BD IT sector.

India and China are big players and as their capacity and scale have grown and they are more keen to enter the bigger market segments. Bangladesh can attract small-scale companies overlooked by India and China. Both may also explore the mutually beneficial business opportunities in joint ventures. Meanwhile, providing the three essentials : training, infrastructure and funding are key to becoming a minor but sustainable player in this global sector.

In the final analysis, the state of the IT sector is both an internal production and external market issue. Bangladesh doesn't have the requisite infrastructural ability whether in skills or technical support issues. It's also not in conversation with its major potential players regionally or even globally. It is not yet ready to join as a serious player. It's this lack of readiness and a trifle lack of knowledge on how to be ready that is hurting the capacity of the Bangladesh IT sector, however limited that is.​