The Bangladesh Telecommunication Regulatory Commission (BTRC) is preparing for its most consequential attempt yet to implement the National Equipment Identity Register (NEIR).
Slated for January 1, 2027, this centralized database tracks International Mobile Equipment Identity (IMEI) numbers across all mobile networks to neutralize illicit handsets, curtail smuggling, and plug massive revenue leaks.
However, the path to enforcement is fraught with history. Past rollouts have triggered intense resistance, protests, and even violent clashes at the BTRC headquarters.
As authorities gear up for a phased implementation, the fundamental question remains: Can regulators balance national security and state revenue with consumer affordability and industry survival, or will history repeat itself?
The BTRC said around 770.6 million IMEI numbers were stored in the NEIR system as of June 2026, including about 411.8 million on the grey list, meaning unauthorized devices.
It cautioned that IMEI numbers cannot be treated as the number of handsets because a single phone may have multiple IMEIs, while cloned IMEIs can be used in several devices.
Backed by recommendations from the National Security Intelligence (NSI), the Ministry of Home Affairs, and the National Board of Revenue (NBR)—which estimates a staggering Tk2,000 crore annual loss from tax evasion on unauthorized handsets—the BTRC has structured a two-phase rollout:
- Phase 1 (Starting January 1, 2027):
- Active handsets currently on mobile operator networks will be automatically registered in the NEIR database.
- Importers can submit IMEI data for pre-imported, unsold stock currently in warehouses.
- The system will detect unauthorized, counterfeit, and duty-evaded handsets, blocking their sale and network usage.
- Limitation: De-registration features and cloning-prevention controls will be held back for this initial phase.
- Phase 2 (Pending Further Approval):
- Introduction of full de-registration capabilities, allowing ownership transfer between users.
- Enhanced safeguards against cloned IMEIs and stolen devices, supported by public awareness campaigns.
The protests and the controversy
The road to NEIR has been defined by policy whiplash and public friction. Initially conceptualized in 2021, subsequent target dates—including announcements for late 2025 and early 2026—were repeatedly delayed or walked back following severe pushback.
When implementation was previously pushed forward, it unleashed fierce opposition from the Mobile Business Community Bangladesh (MBCB) and independent retailers.
Traders staged demonstrations, blocked roads in Agargaon and across Dhaka, and rallied against policies they argued would devastate small businesses.
The tension boiled over when frustrated retailers and stakeholders marched on the BTRC building, resulting in localized vandalism and property damage.
- Core Retailer Demands:
- Lowering the cumulative import tax and duties on smartphones (which currently hover around 61.80%).
- Protection for informal and medium-scale retailers who rely on un-official or grey-market imports to supply budget-conscious consumers.
- Extended grace periods and business-friendly transition terms to prevent immediate capital collapse for mom-and-pop shops.
Retail users have echoed these concerns from a consumer standpoint.
Critics argue that forcing consumers away from affordable, high-spec grey-market devices—while official channels heavily promote expensive or lower-spec alternatives—disproportionately penalizes budget-restricted buyers.
As consumer sentiment often frames it, restrictive policies risk creating a captive market that leaves everyday citizens paying more for less.
Faiz Ahmed Taiyeb, for special assistant for the ministry of posts, telecommunications, and IT to the interim government’s chief adviser, told the media earlier this year: “We are implementing NEIR purely in the interest of maintaining state discipline and security."
"When a regulatory tool comes, various problems arise. We have resolved these problems very quickly... A team has worked 24/7 (every day of the week). They have worked through the night and resolved the problems."
Major official manufacturers have taken a more calculated stance.
Ziauddin Chowdhury, country general manager of Xiaomi Technologies Bangladesh Private Limited, welcomed the decision, emphasizing that a sustainable NEIR policy is vital for a structured market.
Smartphone prices are rising globally. In this context, implementing NEIR while maintaining a high import duty of around 61.80% risks pushing smartphones beyond the reach of ordinary consumers. If the government is later compelled to suspend or roll back NEIR under public pressure, it would undermine the credibility of the policy itself. A balanced duty structure must therefore be established from the outset, he also said.
“Frequent policy changes also discourage foreign investors. It is essential that this initiative be consumer-friendly and business-friendly. We envision a smartphone market where consumers can access products at fair prices, the government collects its due revenue, and all businesses have the opportunity to operate through legitimate channels,” Chowdhury added.
MBCB vice-president Shamim Mollah said traders wanted an opportunity to import handsets under a regulatory framework and called for lower taxes.
‘Give us a chance to provide input as well. Reduce the tax, give us the opportunity to import,’ he said.
Mollah also demanded provisions allowing traders to import used phones after paying taxes.
Will demands be met or overlooked this time around?
As the January 2027 deadline approaches, the BTRC faces a high-stakes dilemma. Whether the government will accommodate or overlook industry protests depends on how it addresses three competing pressures:
- Revenue Protection vs. Market Access: The NBR and security agencies view NEIR as non-negotiable for clamping down on financial crimes (such as MFS abuse) and tax leakage. A complete rollback is unlikely; state coffers depend heavily on plugging these leaks.
- The Duty Trap: If import duties remain near 61.80%, grey-market demand will persist, driving underground trade networks into more aggressive evasion tactics. To prevent another wave of retail unrest, regulators may need to introduce tiered tax incentives or SME rehabilitation frameworks.
- Phased Pragmatism: By dropping de-registration and cloning blocks in Phase 1, the BTRC has signaled a willingness to soften the initial blow. Whether this compromise satisfies retail associations or simply delays the conflict remains the defining variable of the 2027 rollout.