India’s plans to improve internet access in its Northeastern region have hit a roadblock. Bangladesh’s interim government, led by Muhammad Yunus, recently reversed a decision that would have allowed private telecom operators to use Bangladesh as a transit point for supplying bandwidth to India’s connectivity-challenged Northeast. This move has stirred geopolitical and economic concerns while leaving Northeast India grappling with connectivity challenges.
What Was the Proposal?
The now-canceled proposal aimed to use the Akhaura border in Tripura as a transit route, allowing Bharti Airtel’s network to channel bandwidth from Singapore to Northeast India via Bangladesh. This arrangement was expected to provide a faster, more reliable alternative to the existing infrastructure. Currently, the Northeast depends on submarine cables landing in Chennai, over 5,500 km away, which results in slower speeds and frequent outages.
Why Was the Proposal Reversed?
The Bangladesh Telecommunication Regulatory Commission (BTRC) argued that the deal would undermine its ambitions to become a regional internet hub. By allowing Indian telecom providers to route international traffic through its network, Bangladesh feared it would lose its strategic edge in hosting major global content delivery networks (CDNs) like Meta, Google, and Amazon.
The decision also follows increasing scrutiny of political influence in Bangladesh’s telecom sector, particularly around Summit Communications, whose executives are under investigation for alleged financial misconduct.
The State of Internet in Northeast India
Limited Access and Slow Speeds
- Low Internet Penetration: While states like Sikkim boast 90% urban internet usage, others like Tripura lag at 36.3% among urban women.
- Rural Disparities: Internet penetration remains below 50% in most rural areas, limiting digital inclusion.
- Performance Issues: A survey revealed that 56% of internet users in the Northeast are dissatisfied with slow speeds and frequent disruptions, even in areas with 5G access.
Challenges in Infrastructure
The region’s mountainous terrain and frequent natural calamities make it difficult to maintain fiber-optic networks. Connectivity issues often lead to prolonged outages, further exacerbating the digital divide.
What Could Have Changed?
Benefits of the Transit Deal
- Faster Speeds: Direct connectivity to Singapore via Bangladesh could have reduced latency and improved internet reliability.
- Economic Growth: Enhanced digital access could catalyze sectors like e-commerce, telemedicine, and education in the Northeast.
- Regional Integration: Better internet connectivity could bridge the Northeast’s gap with the rest of India, fostering socio-economic development.
Missed Opportunities
Without this project, the Northeast remains reliant on outdated infrastructure, leaving its digital ecosystem underdeveloped. Additionally, cross-border bandwidth sharing could have strengthened India-Bangladesh economic ties, fostering regional cooperation.
Bangladesh’s Internet Aspirations
Bangladesh aims to establish itself as a critical digital hub in South Asia, supported by its robust fiber-optic network. The reversal of the deal aligns with its ambitions to become a regional Point of Presence (PoP) for global internet traffic. However, political and regulatory challenges, including scrutiny over telecom companies like Summit Communications, have slowed progress.
Strategic and Geopolitical Implications
The reversal highlights the complexity of South Asian geopolitics. While Bangladesh seeks to maintain autonomy in its digital strategy, India must now explore alternative solutions to improve connectivity in the Northeast. The decision also underscores the need for India to diversify its infrastructure to reduce dependency on regional players for critical resources.
