The government has fully withdrawn the Tk300 tax on mobile phone SIM cards, Finance Minister Amir Khasru Mahmud Chowdhury said while unveiling the proposed budget for FY2026–27. The move is expected to make new SIM purchases more affordable.
Presenting the budget in parliament on Thursday, the finance minister said the telecom sector currently faces tax rates of around 50% and the information technology sector about 25%, which are higher than international standards. He said the government is working to gradually rationalise the tax structure to support sectoral growth and expand digital services.
He said the Tk300 levy on each new SIM has been proposed for complete withdrawal to improve access to mobile services. The government estimates the measure will cut revenue by around Tk1,200 crore in the next fiscal year.
The Ministry of Posts, Telecommunications and Information Technology said further reforms are planned in tax, VAT and licensing policies to develop ICT as a priority sector.
Mobile operators welcomed the decision. Robi Axiata Ltd Chief Corporate Affairs Officer Sahed Alam said the move would help bring nearly 40% of people still unconnected into the digital network, expanding access to education, healthcare and financial services.
Banglalink Chief Corporate and Regulatory Affairs Officer Taimur Rahman said telecom sector tax cuts and policy support would boost digital inclusion and investment.
The proposed budget sets total spending at Tk9.38 trillion for FY2026–27, one of the largest in the country’s history. Revenue is projected at Tk6.95 trillion, while the deficit stands at about Tk2.43 trillion, to be financed through domestic and foreign borrowing.