Foreign investors are increasingly losing interest in Bangladesh’s telecommunications sector due to excessive taxation and long-standing unresolved financial disputes, according to Grameenphone Chief Executive Officer and AMTOB President Yasir Azman.
Speaking to several media outlets on 6 January, Azman said investor appetite for Bangladesh has fallen sharply, describing the situation as one of the most serious concerns facing the industry today.
“Investor appetite for Bangladesh is very, very low. This is our biggest worry,” Azman said. “I am not saying this only from Grameenphone’s perspective. As president of AMTOB, I see the same concern across other operators as well.”
He identified heavy tax burdens and unresolved audit objections as the primary reasons behind investor reluctance. According to Azman, Bangladesh’s mobile operators have been operating for nearly three decades without a single year in which audit disputes were fully settled.
“All three operators have foreign investors. Under these circumstances, how can they seriously consider further investment in Bangladesh?” he questioned.
Grameenphone alone, Azman said, is facing unresolved financial disputes amounting to approximately Tk 12,500 crore, while other major operators such as Robi and Banglalink are dealing with similar challenges.
The Grameenphone CEO warned that the impact of declining investment confidence is not limited to the telecom sector but is spilling over into other areas of the economy as well.
His comments contrast with recent claims by the interim government. Bangladesh Investment Development Authority (BIDA) Chairman Ashik Chowdhury stated in a Facebook post on 15 January that foreign direct investment (FDI) increased by 80 percent during the first nine months of 2025. According to Chowdhury, the highest inflows came into the power, healthcare, and banking sectors, with China and Singapore emerging as the top source countries.
However, Azman argued that unresolved financial disputes continue to undermine investor confidence, particularly in capital-intensive sectors like telecommunications. He suggested that international arbitration could provide a viable path toward resolving the deadlock.
“We are citizens of Bangladesh and we have responsibilities. But without investment, the country will suffer,” Azman said. “Cases in local courts could take another 10 years. If a verdict comes after that, we will also have to bear interest for those years. No business can survive under such uncertainty.”
He emphasized that Bangladesh already has arbitration laws in place and questioned why international arbitration should not be pursued to bring a credible resolution acceptable to operators, regulators, and the government.
Azman warned that the fragile condition of tower companies and National Telecommunication Transmission Network (NTTN) operators further highlights the urgent need for strong global investors, ideally with local partnerships.
Expressing frustration over the sector’s tax structure, he said Bangladesh has one of the highest telecom tax regimes globally, with nearly 55 percent of every Tk 100 in revenue going toward taxes and VAT, excluding operational costs.
He also criticized regulatory constraints, including Significant Market Power (SMP) rules, saying they restrict innovation and delay the launch of new products due to lengthy approval processes.
When asked whether the current political situation was contributing to investor hesitation, Azman said he does not directly link investment decisions to politics.
“We are operated by a global telecom group, Telenor, and we run the business based on our principles. We had problems before, and we still have them now,” he said.
