Bangabandhu-1 satellite project become a financial burden, costing over Tk 1,500 crore

The Bangabandhu-1 satellite project, initiated by the Awami League government, has become a financial burden, costing over Tk 1,500 crore. Despite reservations from the Planning Commission, former Prime Minister Sheikh Hasina approved the Tk 2,968 crore project in 2014, which was later reduced to Tk 2,765 crore. The government covered Tk 1,406 crore, while a 12-year loan of 155 million euros was secured from HSBC. The Bangladesh Satellite Company Limited (BSCL), tasked with operating the satellite, has yet to contribute financially. The Bangladesh Telecommunication Regulatory Commission (BTRC) has been paying approximately $8.5 million every six months to HSBC, totaling $101.70 million by April, with $64 million more due by 2028. The depreciation of the taka has exacerbated repayment difficulties, with annual payments of Tk 190-200 crore now required. The satellite, launched in 2018, has not met revenue expectations, with significant underutilization of its capacity. Issues include poor market creation and frequency coordination. Critics argue the project’s financial feasibility was inadequately assessed, and call for accountability for officials involved. The project’s high costs and lack of benefits have been criticized as a misuse of public funds.