Analysis: Overcome barriers to leverage the true potential of ICT in 4IR
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Syed Almas Kabir
Publish : 15 Dec 2021, 09:05 PMUpdate : 15 Dec 2021, 09:06 PM
Ranking as one of the largest industries in the world, global information technology (IT) is forecasted to reach a size of $6 trillion by 2023 growing ever since the inception of the Fourth Industrial Revolution (4IR).
As one of the fastest-growing economies in the world that’s celebrating its 50th year of independence, Bangladesh has achieved phenomenal growth in the ICT sector in the last decade.
The progress has been augmented by the “Digital Bangladesh” mandate of the current government led by the visionary Prime Minister Sheikh Hasina who declared her “Vision: 2021” as part of the election manifesto on 12 December 2008.
Bangladesh’s ICT export is estimated to be $1.3 billion which is expected to reach $5 billion by the year 2025.
This increase will be contributed by software, IT Enabled Services, and digital devices.
A sizable job opportunity will be created because of this export.
We have also seen the rise of Bangladeshi startups which is expected to grow to $10 billion by 2025, with bKash becoming its first-ever unicorn at the juncture of the 50th anniversary of Bangladesh becoming an independent economy.
The government has set a goal for transforming to a knowledge-based economy by 2041, acknowledging the importance of the IT sector in bringing socio-economic changes.
Although steps have been taken in maximizing the benefits of digital transformation by providing incentives in the form of reduced-tax benefits up to 5 to 7 years, or a 100% tax exemption for income derived from software and ITES development, duty waiver on ICT-related hardware imports, and tax exemption on royalties, there is still a long way to go in addressing non-tariff barriers.
The outcomes of this shift which is occurring in an environment of unparalleled global connectivity and demographic change are likely to perpetuate and worsen existing chasms between those who are prepared for 4IR and those who are not.
So, the biggest barrier is the growing mismatch between skilled human resources and employer needs, especially when millions of young people around the world are unemployed or underemployed, while employers have jobs they cannot fill.
Syed Almas Kabir
Technological need assessment shows that supply should be generated by demand-driven activities of which starts many of surrounding perspectives.
If unaddressed, the problem will likely intensify as impact occurs on the living standard.
The global IT sector entails advanced technologies such as Artificial Intelligence (AI), Blockchain, cloud computing, Robotic Process Automation (RPA), big data, and Machine Learning (ML) used by IT-based organizations to increase productivity and improve customer experience that requires massive skill up-gradation as well a supporting ecosystem.
With 45% of the population aged below 24 years who are entering the labour market regularly, we need to ensure more public-private initiatives to innovate new products and services as well as develop the skills of workers, expand the domestic software market beyond the country's borders.
We currently have over 1,800 IT firms that are active and can be categorized into Software and Application, ITES/BPO, and those having multi-functions.
More than 400 IT firms currently export products to over 60 countries, with the US and UK being the major destinations.
Given the proper government intervention and facilitation, young people can acquire IT skills and knowledge through enrolling in IT-focused universities, colleges, and training centers, as well as on-the-job training.
Another barrier is getting payments for outsourced work by the IT freelancers as there is a cap on the number of funds that can be transferred through existing channels as the country lacks international payment systems such as PayPal; but if this barrier can be removed, then income from outsourcing could increase.
Preparing youth to excel in 4IR requires that the business community alongside the government to actively participate in enabling an ecosystem aligned across education, workforce, young people, and public policy development programs.
The business community needs to consider its unique position within a larger workforce ecosystem to determine where, how, and for whom it can make an impact today for the betterment of tomorrow.
As we step into our 51st year, it must be a collective effort aimed at improving the potential employment outcomes for the youth.
The author is president of Bangladesh Association of Software and Information Services (BASIS)
Analysis: Overcome barriers to leverage the true potential of ICT in 4IR
Ranking as one of the largest industries in the world, global information technology (IT) is forecasted to reach a size of $6 trillion by 2023 growing ever since the inception of the Fourth Industrial Revolution (4IR).
As one of the fastest-growing economies in the world that’s celebrating its 50th year of independence, Bangladesh has achieved phenomenal growth in the ICT sector in the last decade.
The progress has been augmented by the “Digital Bangladesh” mandate of the current government led by the visionary Prime Minister Sheikh Hasina who declared her “Vision: 2021” as part of the election manifesto on 12 December 2008.
Bangladesh’s ICT export is estimated to be $1.3 billion which is expected to reach $5 billion by the year 2025.
This increase will be contributed by software, IT Enabled Services, and digital devices.
A sizable job opportunity will be created because of this export.
We have also seen the rise of Bangladeshi startups which is expected to grow to $10 billion by 2025, with bKash becoming its first-ever unicorn at the juncture of the 50th anniversary of Bangladesh becoming an independent economy.
The government has set a goal for transforming to a knowledge-based economy by 2041, acknowledging the importance of the IT sector in bringing socio-economic changes.
Although steps have been taken in maximizing the benefits of digital transformation by providing incentives in the form of reduced-tax benefits up to 5 to 7 years, or a 100% tax exemption for income derived from software and ITES development, duty waiver on ICT-related hardware imports, and tax exemption on royalties, there is still a long way to go in addressing non-tariff barriers.
The outcomes of this shift which is occurring in an environment of unparalleled global connectivity and demographic change are likely to perpetuate and worsen existing chasms between those who are prepared for 4IR and those who are not.
So, the biggest barrier is the growing mismatch between skilled human resources and employer needs, especially when millions of young people around the world are unemployed or underemployed, while employers have jobs they cannot fill.
Technological need assessment shows that supply should be generated by demand-driven activities of which starts many of surrounding perspectives.
If unaddressed, the problem will likely intensify as impact occurs on the living standard.
The global IT sector entails advanced technologies such as Artificial Intelligence (AI), Blockchain, cloud computing, Robotic Process Automation (RPA), big data, and Machine Learning (ML) used by IT-based organizations to increase productivity and improve customer experience that requires massive skill up-gradation as well a supporting ecosystem.
With 45% of the population aged below 24 years who are entering the labour market regularly, we need to ensure more public-private initiatives to innovate new products and services as well as develop the skills of workers, expand the domestic software market beyond the country's borders.
We currently have over 1,800 IT firms that are active and can be categorized into Software and Application, ITES/BPO, and those having multi-functions.
More than 400 IT firms currently export products to over 60 countries, with the US and UK being the major destinations.
Given the proper government intervention and facilitation, young people can acquire IT skills and knowledge through enrolling in IT-focused universities, colleges, and training centers, as well as on-the-job training.
Another barrier is getting payments for outsourced work by the IT freelancers as there is a cap on the number of funds that can be transferred through existing channels as the country lacks international payment systems such as PayPal; but if this barrier can be removed, then income from outsourcing could increase.
Preparing youth to excel in 4IR requires that the business community alongside the government to actively participate in enabling an ecosystem aligned across education, workforce, young people, and public policy development programs.
The business community needs to consider its unique position within a larger workforce ecosystem to determine where, how, and for whom it can make an impact today for the betterment of tomorrow.
As we step into our 51st year, it must be a collective effort aimed at improving the potential employment outcomes for the youth.
The author is president of Bangladesh Association of Software and Information Services (BASIS)
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