Digital to Smart Bangladesh

Most of BDT 290 bln investment was ineffective

Staff Correspondent

Photo: Bonik Barta

The Awami League's victory in the December 2008 election was largely attributed to the promise of a Digital Bangladesh. This ambitious vision aims to make every sector of the country technology-dependent and digitally transformed by 2021. However, the reality of the situation is far from this promise. The Ministry of Information and Communication Technology (ICT) initiated a series of projects starting in 2010, but the results have been underwhelming. In December 2022, the then-Prime Minister Sheikh Hasina introduced the concept of 'Smart Bangladesh,' further raising expectations. This new slogan promised the digital transformation of all services and mediums by 2041, the creation of an inclusive society, and developing a business-friendly environment. However, the outcomes of the subsequent projects have not lived up to these promises.

Overall, from 2010 until their removal from power, the Awami League government launched projects worth nearly BDT 290 billion through the ICT department. However, most of these initiatives have not been successful. The majority of the expenditure on these projects went into infrastructure development. Yet, despite such significant spending, the projects failed to attract entrepreneurs. Additionally, several projects were undertaken to develop skilled workers through training, but these efforts also fell short, as trainees were not successfully integrated into the ICT industry afterward.

Experts are talking about the projects taken by the Bangladesh Hi-Tech Park Authority as a prominent example of fruitless investment for developing infrastructure in the information technology sector. Hi-Tech Park, IT Park, Software Technology Park, IT Training and Incubation Center, IT Business Incubator Center, Frontier Technology Institute, etc. Although these activities were carried out across the country to develop hi-tech industries, they did not attract investment as expected. Business activities in the technology sector have been conducted at Bangabandhu Hi-Tech City in Kaliakore, Gazipur, for several years. Besides, few companies have started small-scale production activities in the hi-tech parks built in Sylhet and Rajshahi. Very little foreign investment has come into these parks.

According to the Hi-Tech Park Authority, the company has completed five projects so far, with a total cost of BDT 7.88 billion. Ten more projects are ongoing, with a cost estimated at BDT 71.30 billion.

Industry insiders say no IT industry owner or employee is interested in going to Hi-Tech parks. Some institutions went initially, but they returned later due to various crises. Although it was originally called a Hi-Tech park, the technology-related workers do not want to go there because the necessary ecosystem for living has not been developed around these infrastructures.

Industry insiders stress the crucial need for better planning and assessment of future projects. They emphasize that investors are encouraged if the business model can show that there will be demand in the next 20 years. But if a product becomes useless after five years, businessmen don't want to invest. Past government initiatives have not shown any model to ensure business growth. On the one hand, we are lagging behind in infrastructure development; on the other hand, mistakes have been made in planning. There is no plan to employ educated graduates in government projects. Those working in this sector are not able to acquire proper skills. This is due to a lack of government planning.

Between 2015 and 2022, the then-government spent over BDT 130 billion on various projects to establish digital literacy institutions, including Sheikh Russel Digital Labs and Sheikh Kamal IT Training and Incubation Centers. Some of these projects have already been inaugurated. However, a field inspection revealed that equipment at various inaugurated institutions had been left neglected and deteriorated. According to a report from the Bangladesh Bureau of Education Information and Statistics (BANBEIS), while the teacher-student ratio is close to the ideal standard, there is a severe shortage of teachers in crucial subjects like Information and Communication Technology (ICT). Out of 11.33 million students in ICT, there are only 14,712 teachers, resulting in one teacher for every 689 students.

Education experts say that despite significant government investment in infrastructure development and training in the ICT sector, students have not benefited from these initiatives. In particular, students in rural and semi-rural areas who have access to IT labs find that these labs are closed throughout the year. Due to the lack of teachers, the labs become unusable. As a result, students face learning gaps, affecting their outcomes. Some students failing at the secondary level are failing in ICT subjects.

Among the government's major projects is the expansion of digital connectivity to rural areas, including the extension of fiber optic networks. The government has undertaken several initiatives to expand the network infrastructure, including Connected Bangladesh, the Digital Connectivity Establishment, and the National ICT Infrastructure Development (Info Government Phase I, II, and III). The government has made substantial investments in these projects. However, residents of rural and remote areas have not yet benefited from these improvements.

AKM Fahim Mashroor, CEO and founder of bdjobs.com and an ICT expert said, "Various projects have been undertaken in the name of Digital Bangladesh and Smart Bangladesh. Corruption and nepotism have occurred with these projects funded by taxpayers' money. The general public has not benefited from them. Many projects intended for the industry have also failed to benefit industry people. There is a project called Info Government-3, which was supposed to deliver digital and broadband connectivity to rural areas. However, people in rural areas are still dependent on mobile networks."

He said, "Although various training initiatives have been taken at different times, the industry does not get trained individuals. It is not ensured where the allocated funds for training go or if the training is conducted effectively. We cannot find skilled people for the industry. Many apps have also been created, but these apps have no functionality. Ordinary people cannot use these apps."

According to two ministry officials, previous ministers and state ministers in the Ministry of Information and Communication Technology and the Ministry of Posts and Telecommunications operated their activities according to their preferences. Throughout all stages of the projects, from tendering to implementation, a leader from the Jubo League exerted influence. They would create various projects according to their own whims. The potential of these projects was never assessed.

One notable example is the project titled "Digital Government and Economy Strengthening." This project is being implemented by the ICT Division in collaboration with the World Bank and the Bangladesh government. It aims to provide training in 22 technology-related subjects to 20,000 IT graduates and emerging talents. Additionally, it includes training to make 80,000 graduates employment-ready, the development of a national job portal, establishing a Smart Leadership Academy, policy formulation, and increasing technology sector export earnings to 5 billion dollars by 2025. The project also involves some infrastructure development. The total expenditure for completing these activities is estimated at BDT 25.41 billion. The project is still ongoing, but there are doubts among stakeholders about whether its objectives will be achieved.

When asked, Dr. Md Hadiuzzaman, a professor at Bangladesh University of Engineering and Technology (BUET), told Bonik Barta, "Training should involve knowledge transfer or the exchange of knowledge. If the training lacks practical application, it cannot be sustainable. A significant portion of the training provided here results in trainees not applying their skills in their work. In many cases, senior officials take the training and then are transferred the next day, rendering the training ineffective. To address this, not only should trainees be made productive, but there should also be policy decisions on how these trainings will benefit the public, how much business success they will achieve, and their export potential. Ongoing projects need to be reviewed and evaluated accordingly."

He said, "Our policymakers are most interested in investing in the infrastructure sector. Because building infrastructure requires enormous investment, there is scope for looting. We lacked long-term planning in these sectors. It is a colossal waste of public money. Many projects have been taken up with foreign aid, and the burden of this debt has to be borne by the people. Now, starting with fresh planning, manpower has to be prepared for sustainability.

One of the projects undertaken by the government is Joy Digital Service Employment and Training Center (D-Set). At this center in Panchagarh, training for various courses including basic computer, freelancing was organized every three months, but currently it is locked. Its activities have been closed for a long time due to lack of entrepreneurs.

To improve literacy skills, training has been provided through projects such as education online, information technology through research and development, rate power, learning and earning development, etc.

BDT 3.3 billion project was taken up for skill development of mobile games and applications. More than five hundred mobile applications have been developed under the project, but these applications have not been updated, and people have not benefited from it.

When asked, Nahid Islam, the Interim Government's Advisor on Posts, Telecommunications, and Information Technology, told Bonik Barta, "The previous government undertook unnecessary projects using taxpayers' money. We have observed that in many cases, the feasibility of these projects was not even assessed. These projects were initiated to benefit party loyalists through political favoritism. We will review and assess the projects currently underway to build a new Bangladesh and strengthen the institutions. We will not allow the people's hard-earned tax money to be wasted."

 

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