CHAPTER 11

TRANSPORT AND COMMUNICATION

[A well-organised and dependable transport and communication system is inevitable for socio-economic development of a country. According to data released by BBS, in FY 2010-11, the growth rate in this sector and its contribution to GDP at constant price were about 6.58 percent and 10.72 percent respectively. These rates were 5.69 percent and 10.70 percent respectively during FY 2011-12(BBS estimation). The recent studies reveal that the share of road transport in carriage of freight and passenger traffic is more than 80 percent in tonne-km and more than 88 percent in passenger-km respectively. The road network under Roads and Highways Department is the main component of inland transportation system that also includes railways and waterways. Along with the road network, LGED is implementing a series of programmes including construction/reconstruction/rehabilitation of bridges/culverts in each district to connect villages, unions and upazilas. The Bangabandhu Bridge has been constructed to establish direct road and rail links between the north-west and eastern zone of the country. Besides, road and railway communication facilities, electricity and gas pipelines have also been laid on the bridge. This bridge, as a development catalyst, is playing a significant role in the socio-economic progress of Bangladesh and in improving the transportation network of the country. Railway is one of the dependable means which provides, environment-friendly, less hazardous and less expensive transport services. The Government is committed to transform Bangladesh Railway into a commercially and financially viable organisation with managerial, financial and administrative autonomy to meet its objectives. Several measures have already been undertaken for excavation and re-excavation of dying river ways, development and maintenance of navigability of different river routes, ensuring safe movement of water crafts, development of inland river ports, making the circular waterways around Dhaka project operational, creating infrastructure facilities to carry container goods in inland waterways, preparation of hydrographic charts using digital system etc. Biman Bangladesh Airlines Limited makes significant contribution towards establishing air links within the country and with other countries. Special emphasis has been given on telecommunication sector. This sector has been playing a major role in developing modern telecommunication network.]

A well-organised and modern transport and communication system is essential for continued socio-economic development of Bangladesh. In the context of globalisation and market economy, it is extremely important to stay connected with the regional and international transport and communication network. In Bangladesh, this sector is growing and making significant contribution to GDP. According to data released by BBS, in FY 2010-11, the growth rate in this sector and its contribution to GDP at constant price were about 6.58 percent and

179

10.72 percent respectively. These rates were 5.69 percent and 10.70 percent respectively during FY 2011-12 (BBS estimation). It is therefore, important to build a well-knit and dependable transport and communication system in the country. Relevant ministries, departments and agencies are engaged in development initiatives to bring about improvement in this sector. Roads and Highways Department (R&HD) In Bangladesh, among the various modes of transport, road transport system in recent years has been playing a significant role in transporting passengers and goods. According to recent studies, the share of road transport in carriage of freight and passenger traffic is more than 80 percent in tonne-km and more than 88 percent in passenger-km respectively. The Roads and Highways Department (RHD) manages several categories of roads. As recorded in 2012, the total length of road under RHD is 21,462 km. 16.52 percent of these roads are national highways while 19.93 percent and 63.55 percent are regional highways and feeder roads respectively. RHD has under its control a total number of 4,507 bridges and 13,751 culverts. It is currently operating about 153 ferry boats in 60 ferry ghats on its road network throughout the country. The road network under RHD combining different types of roads built over a period from 2001 to 2012 is shown in Table 11.1 below: Table 11.1: Various Categories of Roads under Roads and Highways Department Year National Highway (km) 3086 3086 3086 3723 3570 3570 3570 3482 3478 3478 3492 3544 Regional Highway (km) 1751 1751 1751 4832 4323 4323 4323 4128 4222 4222 4268 4278 Feeder Road A type (km) 15962 15962 15962 13823 13678 13678 13678 13255 13248 13248 13280 13640 Total (km) 20799 20799 20799 22378 21571 21571 21571 20865 20948 20948 21040 21462

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Source: Department of Roads & Highways, Ministry of Communication.

A total of 169 development (or investment) projects including five JDCF projects have been included in the Annual Development Programme (ADP) of RHD for FY 2011-12 with an outlay of Tk. 2,440.51 crore. Of the total outlay,the GoB component is Tk 2,080.72 crore and project 180

aid is Tk. 359.79 crore. The overall financial progress of these projects is 94.94 percent of the total allocation. Local Government Engineering Department (LGED): LGED is implementing a series of programmes with foreign and local funding for infrastructure development of urban and rural areas. Since its inception up to June 2012, LGED has so far constructed a total of 82,260 km. upazila, union and rural roads, as well as 1,162,666 metre bridges/culverts on these roads. Besides these, LGED also implemented a number of important programmes which include 21,569 km tree plantation, construction of 2,592 union parishad complex buildings. A total of 4,11,039 hectares of cultivable land has been brought under Small Scale Water Resource Development Programmes ensuring increased production of crops and fishes. The programmes of LGED for road infrastructure development during FY 2005-06 to FY2011-12 are shown below: Table 11.2: Programmes of LGED for Infrastructure Development
Activities Cumulative June- 2005 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 Cumulative figure up to June '12 64691 4905 26415 82,260 1162,666

Dirt Road (km) Paved Road (km) Bridge/ Culvert (m)

58076 50714 925191

6573 5872 39728

42 5086 40067

3769 29600

3277 33800

4,023 29,36 3

4614 38502

Source: LGED.

After successful completion of Khilgaon flyover in Dhaka city using the expertise of local engineers, LGED has now taken-up an initiative for construction of another flyover from Mouchak-Maghbazar intersection to Mohakhali for the improvement of Dhaka road transport system. Feasibility studies, design and estimates in this regard have already been completed with Kuwait fund. There is a policy-priority of country-wide homogeneous development in the light of rural development strategy to implement all activities under LGED programmes. LGED has already prepared a long-term Master Plan for the period 2005-25 for development of rural roads and other infrastructures in order to achieve country-wide balanced development. Bangladesh Road Transport Authority (BRTA) BRTA has been entrusted with the task of ensuring constant supervision, proper management and effective control with a view to bringing about discipline in the road transport sector since its 181

inception in 1988. This organisation is responsible for issuing registration and fitness certificates as well as for executing other regulatory activities as per Motor Vehicle Ordinance. In FY 201011, BRTA has recorded revenue collection of Tk.685 crore (78.74 percent of target). During FY 2011-12 BRTA collected Tk.642crore against the target of Tk.904 crore that is 71.01 percent of target. Revenue target and collection of BRTA during the period from FY 2002-03 to FY 2011-12 are shown in Table 11:3 Table 11.3: Revenue Target and Collection of BRTA from FY 2002-03 to FY 2011-12
(In Crore Taka)

Target 2002-03 Fiscal Year 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12
Source: BRTA

Recovery 222 245 251 335 401 490 647 642 686 642

Recovery rate (%) 98.67 102.02 96.17 102.76 104.97 111.11 117.64 97.34 78.73 71.01

225 240 261 326 382 441 550 660 870 904

Meanwhile, the BRTA has undertaken the following programmes in order to bring discipline and dynamism in this sector: Imparted training to as many as 8,250 professional drivers in FY 2010-11. Introduced high security driving license. Encouraged use of CNG run motor transports. Prepared National Land Transport Policy. Introduced high security vehicle registration and fitness certificates. Procured pollution detective mobile vehicles. These vehicles will detect the transports emitting black smokes.

182

Bridges Division The functions of the Bridges Division under the Ministry of Communications include construction and maintenance of bridges having the length of 1,500m and above, toll roads, flyover, causeways and link roads. Bangabandhu Bridge The Bangabandhu Bridge has been constructed to establish direct road and rail link between the north-west and eastern zone of the country. Besides the road and railway communication facilities, electricity and gas pipelines have also been laid on the bridge. This bridge, as a development catalyst, is playing a significant role in the socio-economic progress of Bangladesh and in improving the transportation network of the country. Set out below is a table that shows year wise comparative statement of toll revenue from the Bangabandhu Bridge during the period from FY 2000-01 to FY 2011-12: Table-11.4 Targets and Collections of Tolls at Bangabandhu Bridge
(In Crore Taka)

Fiscal Year 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12

Target 78.09 84.94 95.03 106.21 117.6 131.11 146.19 163.03 181.53 230.00 260.00 312.21

Collection 81.15 91.99 107.02 129.30 150.43 156.08 171.50 199.55 212.44 243.93 267.66 304.66

Revenue as % of target 103.91 108.30 122.62 121.70 127.92 119.04 117.30 122.40 117.00 106.05 102.95 97.58

Source: Bridges Division. * from 23 June, 1998

Padma Multipurpose Bridge After successful completion of the Bangabandhu Bridge, Bangladesh Government has taken steps to construct a 6.15km long bridge at an estimated cost of about US $2.97 billion across the mighty river Padma. The bridge will connect 19 districts of the South-Western region with the East and South Eastern Region of Bangladesh. This bridge will set direct link between two major seaports of the country and will be an integral part of the Asian Highway No-1 and Trans 183

Asian railway network system. With the implementation of Padma Bridge, Bangladesh will have an integrated transportation network. This Bridge will bring revolutionary changes in poverty alleviation and socio-economic upliftment of the country. Second Padma Multipurpose Bridge The Government has taken preliminary steps to construct about 6.10 km long Second Padma Multipurpose Bridge at Paturia-Goalanda point. This bridge will establish direct communication between the capital and the west and south-west part of Bangladesh, which will also contribute to the socio-economic development. Elevated Expressway The Government has undertaken concerted efforts to construct about 26 km. long Dhaka Elevated Expressway from Shahjalal International Airport to Kutubkhali on Dhaka Chittagong Highway on PPP basis at a cost of Tk.3, 216.87crore to reduce traffic congestion in the capital city. Dhaka Transport Co-ordination Board (DTCB) The main objectives establishing Dhaka Transport Co-ordination Board (DTCB) are: to plan and coordinate transport infrastructure facilities and traffic management, to build institutional capacity of different organisations working in Dhaka Metropolitan Area (DMA) and to prepare a long-term transport development plan. In order to develop transport facilities, DTCB has implemented Dhaka Urban Transport Project (DUTP) with the collaboration of different organisations like, Dhaka City Corporation (DCC), Roads and Highways Department (RHD), Bangladesh Road Transport Authority (BRTA) and Dhaka Metropolitan Police (DMP). The total outlay of the project is Tk. 714.72 crore. Major Activities/Programme Completed by DTCB Enactment of Dhaka Transport Coordination Authority Act, 2011 Dhaka Transport Coordination Board Act, 2001 was amended for the development of trafic management system of Dhaka Metropolitan City, introduction of mass transportation system and further strengthening of Dhaka Transport Coordination Board (DTCB)s activities. Initially, the sphere of transport infrastructure development was limited to Dhaka Metropolitan City but it is now widened to cover the adjoining districts as well. In this context, Dhaka Transport Coordination Authority Act, 2011 came into force to include Dhaka, Narayanganj, Munshiganj, Manikganj, Gazipur and Narsingdi districts in order to restructure, plan, coordinate and modernise the transport system of greater Dhaka metropolitan city. Digitalisation of Transport System With a view to digitalising the transport system and ensuring qualitative development, DTCB introduced e-ticketing system (Uttara to Azimpur route) since 14th April 2009. 184

Bus Rapid Transit-BRT: A project titled Clean Air and Sustainable Environment (CASE)-DTCB Component with the support from the World Bank has been taken up. Under the project, feasibility study and preliminary design works have already been completed in order to implement Bus Rapid Transit (BRT) Line-3 starting from Hazrat Shahajalal International Airport via Mohakhali Moghbazar Ramna Gulistan - Nayabazar upto Jhilmil. The length of the BRT is about 22 kilometres having 16 stations. Once the project is implemented, the pressure of commuting passengers during the rush hours will be substantially eased up. Mass Rapid Transit Line-6 (MRT Line-6) In order to construct Mass Rapid Transit Line-6 (MRT Line-6 or Metrorail) in Dhaka city, a project called Dhaka Mass Rapid Transit Development Project has been taken-up. Japan International Co-operation Agency (JICA) will finance the project. The route of MRT Line-6 is starting from Uttara 3rd Phase via Pallabi TSC - Doel Chattar - Topkhana Road upto Bangladesh Bank. The length of MRT Line-6 will be 20.1 km having 16 stations. This will be the first ever rapid mass transit public transportation system in Bangladesh with high occupancy. After implementation of this project, it will be possible to transport around thirty five thousand passengers per hour per direction. As a result, the passenger transportation system of Dhaka city will be improved and modernised, the traffic congestion will be reduced significantly, and the environment will be improved a lot. A fully government owned company named Dhaka Mass Transit Company Ltd (DMTCL) will operate, manage and maintain MRT Line-6. Road Transport and Traffic Act 2011 The draft of a modern and time-befitting Road Transport and Traffic Act 2011 has been finalised replacing Motor Vehicle Ordinance (MVO) 1983 which was originally enacted in 1939. Currently, it is being updated in consultation with the stakeholders. Ensuring Car Parking in Multi Storied Buildings and Traffic Circulation Currently clearance certificates for car parking in multi-storied building for ensuring traffic circulation are being issued from DTCB. The purpose of this initiative is to ensure proper management of space adjacent to the roads in Dhaka Metropolitan City to make it consistent with the transport planning and land use plan. Bangladesh Road Transport Corporation (BRTC) Bangladesh Road Transport Corporation (BRTC) was established in 1961 under an Ordinance to establish standard road transport system in the country. The responsibilities of the entity includes: 185

Operate fast, efficient, economic, comfortable, modern and reliable road transport system in the country; Help develop road transport system in the private sector; Play essential role as the controlling outfit for better and quality service within government fare and freight structure in road transport sector in the country; Conduct driving and mechanics training for creation of trained and efficient manpower; Play strategic interventional role for sustaining better and disciplined road transport system in the country as well as to play strategic interventional role at the time of emergency like political agitations, strike, hartal, natural calamities such as flood, cyclone, tidal surge etc. Introduce e-ticketing.

The table below shows year wise income and expenditure of BRTC. Table 11.5: Revenue Income and Expenditure of BRTC
(crore Tk.)

Fiscal Year 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12
Source: BRTC

Income 47.43 64.25 70.71 75.45 88.32 92.52 105.27 106.26 106.96 121.35 150.75

Operating cost 35.09 48.01 58.37 62.28 78.58 85.96 95.88 97.85 93.88 112.89 145.44

Operating Surpluse 12.34 16.24 12.33 13.17 9.73 6.56 9.39 8.41 13.08 8.45 5.31

BRTC has already procured 275 CNG single decker buses under NDF loans. The entity also procured 255 CNG single decker buses with spare parts under EDCF loans. Under the project for procurement of 300 DD buses, 100 AC SD buses and 50 articulated buses, BRTC concluded a contract agreement for procurement of another 290 DD buses. PDPP for procurement of 1000 buses and 1000 trucks has been approved in principle by the Planning Commission and the project for construction of Training Institute at Tungipara has been prepared. DPP for procurement of the 300 single decker AC/ non-AC buses and 300 trucks under Indian Dollar Credit Line has also been prepared.

186

Railway Communication Bangladesh Railway (BR) provides, environment-friendly, less hazardous and less expensive transport services. It has got a total network of 2,877.10 route kilometres (broad gauge 659.33 km, dual gauge 374.83 km and metre gauge-1,842.94 km). After the construction of railway tracks over the Bangabandhu Bridge, railway link between the East and West Zones has been established. Dual gauge rail track constructed from Jamtoil to Joydebpur over Bangabandhu Bridge has established direct rail link between East and West zones. A total of 46 development projects of Bangladesh Railway with an outlay of Tk.2,265.66 crore has been included in the revised annual development programme during FY2011-12. Table 11.6 below presents year wise data on passenger traffic, freight traffic, revenue earnings and revenue expenses over the period from FY 2000-01 to FY 2011-12 Table 11.6: Passenger Traffic, Freight Traffic, Revenue Earnings and Revenue Expenses of Bangladesh Railway
Fiscal Year 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 Passenger traffic km (million) 4209.00 3972.00 4024.20 4341.50 4164.13 4387.45 4586.04 5609.24 6800.73 7304.95 8051.92 8787.23* Freight traffic km (million) 907.88 951.82 951.99 895.50 816.80 820.49 775.58 869.59 800.15 710.06 684.63 582.11* Revenue earnings (crore Tk) 366.39 388.40 420.10 394.17 445.62 444.27 452.76 561.64 625.35 566.30 629.55 582.11* 523.87 535.48 586.71 639.41 695.09 814.73 933.13 1088.55 1172.74 1257.20 1491.82 1576.74*
*provisional

Revenue expense (crore Tk)

Source: Bangladesh Railway, Ministry of Communication.

The Government is committed to transform BR into a commercially and financially viable organisation with managerial, financial and administrative autonomy to meet its objectives. Recently decisions for ensuring more autonomy and changing governance structure of BR have been taken in order to make it commercially and financially viable. To implement the decisions, a technical assistance project titled Organisational Reforms of Bangladesh Railway has been taken up with the support from ADB. Under this project, following activities including involvement of private sectors in various programmes of BR have been completed:

187

Reduction of work force from 58,000 to 27,971 (through voluntary retirement and natural attrition); Closure of a number of losing branch lines stations, workshops, sheds etc. and suspension of non-profitable passenger trains; Adoption of Public Service Obligation (PSO) principle; Fixation of tariff along the line of commercial principle; Partnership with private sector in different activities;

Implementation of another project titled Bangladesh Railway Sector Improvement is underway with the support from ADB. With an outlay of Tk.3,601.25 crore, the project will be completed by June 2014. The main components of the project include: a) construction of double lines from Tongi to Bhairab bazar with signalling system and b) reforms of Bangladesh Railway. The overall activities of the project have been divided into six well integrated modules. There is a package of initiatives under this project which include: Turning BR into a client-oriented commercial entity; Restructuring of lines of business; Improvement of financial, and administrative human resource management including preparation of asset register;

It is expected that BR will be transformed into an effective corporate agency under the ownership of the Government. Water Transport In order to ensure maximum use of waterways, the Ministry of Shipping have taken up the tasks for development of internal water transport infrastructure, its maintenance, operation and control. A master plan for dredging of internal water routes has been taken up. Construction of deep sea port at Sonadia of Coxs Bazar district has been planned to expand regional trade by using the advantage of geographical location of the country. As a result, trade and commerce of this region especially with India, China and Myanmar will be expanded. Moreover, construction of the third sea port in the countrys southern areas alongside Chittangong and Mongla ports has been planned. There are nine agencies under the Ministry of Shipping that include: Chittagong Port Authority, Mongla Port Authority, Bangladesh Land Port Authority, Department of Shipping, Bangladesh Inland Water Transport Authority, Bangladesh Inland Water Transport Corporation, Bangladesh Shipping Corporation, Marine Academy and National Maritime Institute. Activities of some of these agencies are presented below:

188

Chittagong Port Authority (CPA) There is an ongoing process of building Chittangong Port as a modern sea port keeping pace with other modern sea ports in the world. Imports and exports kept on rising through the Chittangong Port despite trade and commerce across the world was depressed. The growth of import and export recorded through this port ranged from 12-14 percent on an average. Chittagong Port, the largest sea port of Bangladesh, handles about 92 perc ent of countrys maritime trade. According to the international norms, keeping turn around period of ships at the minimum is an important indicator for measuring the level of efficiency of a port. In 2007, the average turn around period of container ships had been 5.02 days whereas in 2011, it came down at 3.21 days. The process is still continuing. On the other hand, in 2007, the average turn around period of containers was approximately 23 days whereas in 2011, it went down to 16 days. Statistics of income and expenditure of the CPA during FY 2000-01 to FY 2011-12 are shown in the table below: Table 11.7 Income and Expenditure of CPA
(In CroreTaka)

Fiscal Year 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12*

Income
477.00 531.37 530.66 557.36 649.78 741.13 830.02 1057.04 1133.72 1155.35 1423.13 1508.93

Expenditure (except contribution to Govt. Treasury) 302.28 396.10 373.75 325.60 319.65 376.11 451.26 447.16 457.51 624.78 597.00 664.65

Surplus 174.72 135.28 156.91 231.76 330.13 365.02 378.76 609.88 676.21 530.57 826.13 844.28
*provisional

Source: Chittagong Port Authority, Ministry of Shipping

Mongla Port Authority (MPA) Mongla is the second seaport of Bangladesh. Because of its geographical location, Mongla Port is widely known less disater-prone and eco-friendly port. It has three container yards with a total area of 35,752 sq. metres which can accommodate 2,180 TUES containers of same heights . In addition, it has got 5 transit sheds and 2 warehouses which can store 33,258 metric tonnes of cargo. Mongla Port is capable of facilitating trade between north-west part of Bangladesh, Nepal, 189

Bhutan and places adjacent to the Indian border. In FY 2011-12, a total of 24.82 lakh metric tonnes of imported cargo and 1.37 lakh metric tonnes of exported cargo, 30,045 TEUS container and 1,44,250 metric tonnes of containerised cargo have been handled through this port. In FY 2011-12, it earned a total icome of Tk. 90.74 crore. Table 11.8 below shows year wise data on revenue income, expenditure, profit/loss of Mongla Port during the period from FY 2000-01 to FY 2011-12. Table 11.8 Income, Expenditure and Profit/Loss of Mongla Port
(In Crore Taka)

Year 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12

Income 75.86 70.59 55.89 51.98 45.48 47.25 49.34 47.70 58.40 66.49 81.03 90.74

Expenditure 55.04 52.75 61.40 57.79 57.10 56.64 55.53 47.65 55.42 64.22 71.11 74.51

Profit/ Loss 20.82 17.84 -5.51 - 5.81 - 11.62 -9.40 -6.19 0.45 2.98 2.27 9.92 16.23

Contribution exchequer 0.00 4.00 4.00 4.00 1.50 0.00 0.00 0.50 -

to

Source: Mongla port

The Government has attached top priority to the development of port facilities up to the international standard. To develop the port, 5 development projects have been undertaken at an estimated cost of Tk. 466.49 crore. It is expected that after implementation of those projects MPA will operate more efficiently. A profile of the projects undertaken is presented below: Navigation Aids to Mongla Port: The project has been undertaken to assist the movement of sea-going vessels in the channel during day and night, at a cost of Tk. 23.00 crore. The project is scheduled to be completed by June 2012. Dredging at the Outer Bar in the Pussur Channel: The aim of this project is to increase navigability at the outer bar area to facilitate entrance of more than 9 metre draught ships into Mongla Port area easily by dredging 3.2 million cubic metres of soil at an estimated cost of Tk. 122.82 crore. Dredging in the Harbour Channel of Mongla Port :The Project has been undertaken to increase the navigability of Harbour Channel of the Pussur river by dredging 4.196 million cubic metres of soil at an estimated cost of Tk. 132.00 crore. The project is scheduled to be completed by June 2014. 190

Procurement of 6 Dredgers with Related Accessories and Facilities for the Minisrtry of Water Resources and the Ministry of Shipping : The project has been undertaken to procure 6 dredger and ancillary facilities at a cost of Tk.638.94 crore financed by the Government of India of which 1 dredger will be procured for Mongla Port at a cost of 104.94 crore . The project is scheduled to be completed by June 2015. Bangladesh Shipping Corporation (BSC) To provide an efficient shipping service and to carry out all activities related to international sea trade, Bangladesh Shipping Corporation (BSC) was established in 1972. BSC has built up a mixed fleet of 13 vessels where 10 vessels are ordinary cargo carriers, 1 container carrier and 2 lighter oil tankers. BSC can boost up 6-7 percent of our export and import by its present fleet. Table 11.8 below shows gross income-expenditure and net profit-loss of BSC during FY 200001 to FY 2011-12: Table-11.9 Statement of Income-Expenditure and Profit-Loss of BSC
(In crore Taka)

Fiscal Year

Total Income

Total Expenditure Net (including Profit depreciation & interest) 225.49 200.21 207.64 242.24 282.44 293.20 278.45 369.61 287.00 259.91 264.79 280.55 -12.90 0.12 0.56 15.25 33.25 30.87 15.96 46.68 -10.26 13.34 1.83 1.46

Depreciat Profit/Loss excluding ion & depreciation & Interest interest 24.72 20.05 21.12 15.12 15.30 16.38 15.98 16.73 -32.11 17.16 14.47 13.24 11.82 20.17 21.68 30.37 48.55 47.25 31.94 63.41 -42.37 30.50 16.3 14.70

2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12
Source: BSC

212.59 200.33 208.20 257.49 315.69 324.07 294.41 416.29 276.74 273.25 266.66 282.01

Bangladesh Inland Water Transport Corporation (BIWTC) BIWTC is a service-oriented government-owned organisation. It is also the largest inland water transport entity. Currently, with a fleet of 210 vessels. BIWTC is playing a significant role in the economic activities of the country by carrying passengers and cargo.

191

BIWTC has recently completed the rehabilitation work of sea vessels and also built new ones under ADP and self financing arrangements. New vessels are playing significant role in providing ferry and passenger services. Ferries and pontoons are deployed at Mawa and Paturia ferry sectors. In addition, sea trucks ensure the daily communication in the coastal areas and off-shore islands. These are also playing a significant role in generating income by BIWTC. Table 11.9 below shows gross income and expenditure of BIWTC during the period from FY2000-01 to FY 2011-12. Table 11.10 Income and Expenditure Statement of BIWTC
(In Crore Taka)

Fiscal Year 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12

Income

Actual Expenditure 69.60 72.03 69.66 70.54 73.20 85.57 99.10 110.23 129.38 159.69 155.20 202.18

88.72 99.73 109.61 118.16 121.61 134.05 147.54 160.86 170.54 190.33 206.67 226.00

Operational Interest & Profit (+)/Loss (- depreciation ) 19.12 16.18 27.70 17.18 39.62 21.04 47.62 22.27 48.41 21.91 48.32 21.30 48.44 20.10 47.74 19.24 41.17 18.30 49.05 10.41 51.46 21.05 23.82 ---

Remark

2.94 10.52 18.58 25.35 26.50 27.18 28.34 28.50 17.86 27.64 25.41 ---

Source: Bangladesh Inland Water Transport Corporation, Ministry of Shipping.

Bangladesh Inland Water Transport Authority (BIWTA) Bangladesh Inland Water Transport Authority (BIWTA) is mainly responsible for carrying out regulatory functions of the inland water transportation system of the country. Among other responsiblities of the entity include excavation and re-excavation of dying river ways, development and maintenance of navigability of different river routes, ensuring safe movement of water crafts, development of inland river ports, activating the circular waterways around Dhaka, creating infrastructure facilities to carry container goods through inland waterways and preparation of hydrographic charts using digital system. A total of 15 development projects of BIWTA has been included in the Revised Annual Development Programme (RADP) of FY 2011-12. Among them, 13 projects will be financed by the Government and the remaining two projects will be implemented under self-fianacing arranegements.

192

Table 11.12 below shows the year wise income and expenditure of BIWTA during the period from FY 2003-04 to FY 2011-12. Table 11.11 Income and Expenditure of BIWTA
(In Crore Taka)

Financial Year 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12*

Income 79.77 92.56 117.15 122.09 120.29 160.15 177.56 228.01 289.13

Actual Expenditure 106.17 111.58 134.46 142.72 137.93 160.53 182.74 229.58 274.69

Source: BIWTA, Ministry of Shipping.

Net Profit/ Net Loss -26.41 -19.01 -17.31 -20.63 -17.64 - 0.38 -5.18 -1.57 14.40 *provisional

BIWTA performs dredging works each year for development and maintainance of the inland water transportation system.The volume of development and maintenance dredging during the period from FY 2001-02 to FY 2011-12 is presented in the table below: Table 11.12 Development and Maintainance works of BIWTA
Dredging Quantity (lack cubic meter) Financial Year Total Development Dredging 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12
Source: BIWTA

Maintainance Dredging 21.53 20.99 18.47 18.85 14.20 20.42 14.07 23.35 34.96 40.16 43.62

29.15 30.53 32.18 34.72 64.79 36.70 31.25 32.46 39.96 65.70 68.10

7.62 9.54 13.17 15.87 50.59 16.28 17.18 9.11 5.00 25.54 24.48

193

Bangladesh Land Port Authority (BLPA) Bangladesh Land Port Authority is mandated to reinforce import-export trade among the neighbouring countries through land routes. As part of its madated responsibilties, the Authority has established over time 17 land ports at various locations of the country namely Benapole, Sonamosjid, Hilli, Teknaf, Bibirbazar, Banglabandha, Birol, Burimari, Tamabil, Akhaura, Bhomra, Darshana, Belonia, Nakogaon, Ramgorh, Gobrakura and. Out of these 17 land ports, 6 ports namely Birol, Banglabandha, Sonamosjid, Hilli, Teknaf and Bibirbazar have been handed over to private operators. The trend of inter-country trade volume through land routes has been on the increase because of the favourable policy climate ensured by the Government and grew by 6 percent in FY 2011-12. It is expected that the government revenue collection will increase significantly with the furtherance of inter- state trade through land routes in near future. As part of the programme for development of the land ports, BLPA is implementing a project titled Modernisation of Benapole Land Port (1st phase) with an outlay of Tk. 51.57 crore. Under this project, passenger terminal, international bus terminal and export terminal will be constructed with modern facilities in the port premise. In addition, the storage capacity of Benapole Land Port will increase from 27,000.00 metric tonnes to 28,600.00 metric tonnes after completion of the project in June 2013. By now, steps has been taken to bring Benapole Land Port under an automation programme to make its operation transparent and smooth. Besides, another two projects titled Development of Bhomra Land Portand Development of Nakugaon Land Port have been taken up at a cost of Tk. 19.00 crore and and Tk. 15.68 respectively to intensify trade activities among the neighbouring countries. These two projects are expected to be completed by June 2013. Notably, a plan has been also worked out to develop Ramghar, Gobrakura-Koraitoli, Tamabil and Belonia land ports. Table 11.14 shows year wise income and expenditure of BPLA during the period from FY 2001-02 to FY 2011-12: Table 11.13 Income and Expenditure of Bangladesh Land Port Authority
(in crore)

Fiscal year 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09

Income 5.22 9.82 10.52 18.59 34.96 20.28 22.66 26.74

Expenditure Deposit 2.75 2.48 7.90 12.18 16.00 18.47 13.55 22.73 24.96 194 1.93 1.66 2.59 16..49 6.73 0.06 1.78

Fiscal year 2009-10 2010-11 2011-12

Income 33.52 41.20 42.08

Expenditure Deposit 26.29 7.22 32.63 28.77 8.57 14.31

Source: Bangladesh Land Port Authority

Department of Shipping Department of Shipping is a regulatory body under the Ministry of Shipping. The prime objectives of this department are to ensure secured movement of domestic ships, coastal fishing ships and ships bound for foreign destinations and to protect the trade interest of Bangladeshi ships. This department plays an important role in employment generation by providing training facilities to seamen. Bangladesh is included in the IMO (International Maritime Organisation), STCW (Standard of Training Certification and Watch keeping) white list as the Department of Shipping has revised its examination and certificate system conforming international criteria. This has resulted in the expansion of employment opportunities for the Bangladeshi officers and sailors. The Department also advises the Government on shipping policy and related matters, keeping liaison with the IMO/ILO/UNCTAD and other international shipping related organisations and takes necessary measures for implementation of various international conventions adopted by these organisations. Fees for registration and survey of inland and seagoing vessels, competency examination fees for officers and sailors, light house dues, penalty for violations of shipping rules are the sources of income of this department. Year wise income and expenditure of the Department of Shipping during the period from FY 2000-01 to FY 2011-12 are shown in Table 11:14 below: Table 11.14 Income and Expenditure of the Department of Shipping
(In Crore Taka)

Year 2000-2001 2001-2002 2002-2003 2003-2004 2004-2005 2005-2006 2006-2007 2007-2008 2008-2009

Target of income 3.86 3.36 7.30 8.23 9.82 9.40 8.45 8.15 8.15 195

Actual income 5.14 6.46 6.85 7.53 8.37 7.35 7.40 8.03 9.57

Expenditure 2.51 2.52 2.81 2.86 2.65 3.73 3.71 3.66 5.82

Year 2009-2010 2010-2011 2011-12

Target of income 9.15 10.25 12.71

Actual income 11.67 12.55 13.26

Expenditure 4.63 5.53 5.57

The Department of Shipping has implemented a technical assistance component named Maritime Transport under the Bangladesh Trade Support Programme launched by the Ministry of Commerce. Under this component, new draft legislations have been prepared in order to update the existing maritime laws and regulations with a view to promoting trade and shipping in Bangladesh. Air Transport Civil Aviation Authority of Bangladesh (CAAB) As a member state of the International Civil Aviation Organization (ICAO), the CAAB as part of its responsibility is putting in place necessary infrastructural facilities for movement of domestic and international aircrafts. To ensure quick and secured movement of foreign and domestic aircrafts in the Bangladeshi sky territory, the CAAB builds and maintains airports, air traffic, air navigation and installs telecommunication services and provides other facilities for the passengers. It is now maintaining 3 international airports and 7 domestic airports, and another 4 STOL (Short Take-Off and Landing) ports. The financial position of CAAB during the period from FY 2000-01 to FY 2011-12 is shown in the table below: Table 11.15 Financial Position of CAA
(In Crore Taka)

Fiscal Year 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10

Revenue income 207.94 197.69 201.04 212.18 218.57 316.67 287.15 301.51 412.49 551.15 196

Revenue Expenditure 103.88 108.75 109.90 133.36 141.26 179.18 197.40 207.54 203.61 258.20

Net Profit 104.06 88.94 91.14 78.82 77.31 137.49 89.75 93.97 208.88 292.95

Fiscal Year 2010-11 2011-12

Revenue income 595.19 731.87

Revenue Expenditure 315.78 337.43

Net Profit 279.41 394.44

Biman Bangladesh Airlines Limited The national flag carrier Biman Bangladesh Airlines Limited makes significant contribution towards establishing air links within the country and with other countries. Presently, Biman is operating to 3 domestic and 20 international destinations. Out of the international destinations, 4 destinations are in the SAARC countries, 3 destinations are in South-East Asia, 4 destinations are in the Far East, 8 destinations are in the Gulf and the MiddleEast and the remaining 4 destinations are in Europe. In 2011, Biman included in its flee 2 new generation 777-300ER aircraft under the purchase agreement with Boeing for 10 aircrafts signed in 2008. Of the remaining 8 aircrafts. 2 (two) 777300ER aircrafts are expected to be delivered in 2014, 2 (two) 777-800ER will be delivered in 2015 and 4 (four) 787-8 aircrafts will be delivered in 2019/2020. At present, Biman has 10 aircrafts in the fleet including 2(two) 777-300ER, 4(four) DC-10-30, 2(two)Airbus 310-300and 2 (two) leased 737-800. Biman is planning to resume its services to some of the suspended destinations and extend services to some new destinations after acquisition of new generation aircrafts. Year wise income and expenditure of Biman during FY 2000-01 to FY 2011-12 is shown in Table 11.16 below Table 11.16 Income and Expenditure of Biman
(In Crore Taka)

Fiscal Year 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12

Revenue Income 1735.50 1858.83 1918.60 2213.63 2453.79 2653.73 2463.67 2979.42 3039.70 2943.62 3343.94 3789.51

Expenditure 1828.56 1932.55 1962.89 2179.46 2645.45 3108.44 2735.84 2973.51 3024.12 3023.76 3543.43 4395.46

Net Profit(+)/Loss(-) -93.06 -73.72 -44.29 34.17 -191.66 -454.71 -272.17 5.91 15.58 -80.14 (199.49) (605.95)

Source: Bangladesh Biman Airlines Limited.

197

In order to improve its financial position, Biman has been trying to reduce cost through withdrawal of services from highly loss-making routes and restructuring of existing routes. Biman is also planning to outsource some of its non-core activities. Information and Communication Bangladesh Telecommunications Company Limited (BTCL) The BTCL has taken up a series of activities for promoting the ICT sector.It generates a sizeable amount of revenue for the national exchequer; helps ensure rapid flow of information for other sectors of the economy. Bangladesh Telecommunications Company Limited (BTCL), the only public sector telecom service provider, is providing advanced telecommunication services to its subscribers. The entity has planned to extend latest telecom facilities to augment its revenue and to ensure high speed communication by setting-up nationwide and international telecommunication network. Table 11.18 below shows year wise income and expenditure of during the period from FY 2001-02 to FY 2011-12: Table 11.17 Year wsie Income and Expenditure of BTCL
(In Crore Taka)

Financial Year 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12
Source: BTCL

Target 1600.00 (Crore Taka) 1603.00 1602.15 1702.00 1650.00 1772.00 1903.47 1927.00 1500.00 1583.24 1566.48 1760.00

Revenue Earned 1265.11 (Crore Taka) 1583.05 1544.80 1531.15 1424.78 1316.28 1666.71 1565.33 2108.51 1283.65 1640.43 2186.17

Expenditure 390.45 (Crore Taka) 463.54 588.43 609.02 818.92 824.56 928.51 1754.91 662.47 1371.00 1675.85 2203.38

Balance 874.66 (Crore Taka) 1119.51 956.37 922.13 605.86 491.72 738.2 -189.58 1446.04 -87.35 -35.42 -17.21

In June, 2012, BTCL had 747 exchanges in Bangladesh with telephone capacity of 14.3 lakh and connections of 9.4 lakh. 56 KBPS dial up internet service are available to all users. ADSL broadband capacity was 47 thousand with a speed ranging from 128 KBPS to 2 MPBS and the number of connection was 10 thousand.Bandwidth connected through submarine cables was 5.6 gigabyte/second and the same received from satellite was 72 gigabyte/second. This year 850 kilometre optical-fiber network has been expanded in 850 unions. As a result, the coverage of BTCL optical fibre in the country has extended to 4950 kilometres. In addition, BTCL has two 198

on- going projects in the revised ADP of FY 2011-2012 against which TK. 91.83 crore was allocated for Telecommunication Network Developmentproject. Furthermore, implementation of Optical-fiber Network Development project is going on at rapid pace in 1000 unions. BTCL is trying to improve the quality of its customer services. Telephone subscribers can now view bill status and print telephone bill online from the internet. The company is implementing 2 projects under ADP for FY 2011-12 with an outlay of Tk. 91.83 crore. Bangladesh Telecommunication Regulatory Commission (BTRC) In order to streamline and regulate the telecommunication services in Bangladesh, the Government established Bangladesh Telecommunication Regulatory Commission (BTRC) in 2002. The Commission operates within the broad framework of the Telecommunication Policy aopted by the Government. The telecom sector is recognised as the fastest growing sector in Bangladesh. Currently, six mobile operators and eight PSTN operators are operating in a competitive environment to facilitate the customers with voice services. As of now, the teledensity (voice) of Bangladesh is around 63.74 percent. The number of mobile phone subscribers has reached almost 98 million. Recently, the Commission has issued a set of guidelnes called SIM/RUIM Registration Guidelines to reduce the abuse of mobile phones. Set out below is a table that shows the the number of subscribers, the growth of mobile and fixed phones and the teledensity during the period from 2005-2012. Table: 11:18 Subscriber Number, Growth and Teledensity of Mobile and Fixed Phone Category Mobile Subscribers(crore) Fixed Phone Subscribers (crore) Total Subscriber(crore) Growth of mobile phone (%) Growth of Fixed phone(%) Year wise Tele density (%) Internet Subscriber(crore)
Source: BTRC

2006 2.08 0.10 2.18 124.44 16.97 15.39 -

2007 3.44 0.12 3.56 65.25 16.52 24.71 -

2008 4.37 0.13 4.50 27.11 9.03 30.00 -

2009 4.79 0.15 4.94 9.77 12.92 34.00 -

2010 6.86 0.11 6.97 43.22 -36.36 47.8 -

2011 7.97 0.11 8.08 16.18 0.00 52.54 1.58

2012 9.38 0.11 9.49

63.74 2.7

Bangladesh Submarine Cable Company Limited (BSCCL) Bangladesh Submarine Cable Company Limited (BSCCL) is the sole provider of bandwidth service through Submarine Cable (under the SEA-ME-WE-4 Consortium) in Bangladesh and is contributing to the revenue earnings of the Government. BSCCL is a leading company in 199

implementing National ILDTS and ICT policies of the Government. The company has been playing a major role in developing a modern telecommunication network through the submarine cable. BSCCL is a growing company in Bangladeshs telecom sector which earned revenues to the tune of Tk. 83.78 crore in FY 2010-11and Tk. 126.17 crore in FY 2011-12. Table 11.20 shows yearwise income and expenditure of BSCCL during the period from FY 2008-09 to FY 2011-12 Table 11.19 Income and Expenditure of Bangladesh Submarine Cable Company Limited
2008-09 Revenue Earned Expenditure Net Profit
Source:BSCCL

2009-10 60.33

2010-11 83.79

2011-12 126.17

43.59

32.04 11.55

25.68 34.66

53.27 30.51

42.30 83.87

Reduction of Bandwidth Price for Internet To materialize the goal articulated in Vision 2021 and to ensure more use of internet service bandwidth charge for internet has been reduced by 60 percent to keep it within affordability of mass people. Utilisation of Bandwidth Over the last few years, the bandwidth use has grown from 7.5 to 23 Gbps (based on the allocation of the STM-1 ports). This is attributable to the growth of international circuits, growing internet subscribers and expansion of broadband internet. The following graph shows the utilisation of submarine cable bandwidth over time:

Graph 11.1: Bandwidth Utilization & Capacity Chart

Utilization (Gbps) Capacity (Gbps)

Year 200

Working with Upgrade # 3 The Government has plans to extend the broadband internet and telecommunication facilities for the benefits of the people by narrowing the digital divide, and promoting ICT businesses and activities for which Bangladesh will need a substantial amount of bandwidth. BSCCL has invested Tk. 50 crore from the its own fund to acquire a bandwidth of 6 million MIU*Km in the Upgrade # 3 of the SMW-4 Consortium. Bandwidth reserve reached 145 Gbps in May 2012. This amount of bandwidth should be sufficient to meet the requirements of the near future and as the investment per unit bandwidth is small, the overall price of wet segment (submarine cable) bandwidth will also come down. Second Submarine Cable BSCCL is prepared for the second submarine cable connection which will ensure uninterrupted communication. It is expected that Bangladesh will be connected with 2 submarine consortia by 2014. Lease of Spare Bandwidth in International Market Currently, around only 30 percent of the 85 Gbps bandwidth can be utilised. Furthermore, BSCCL is going to enhance its capacity. Given the capacity available, BSCCL has a plan to lease out a portion of the spare capacity for short term which would otherwise remain unutilised. This will earn considerable amount of foreign exchange for the country. Information and Communication Technology (ICT) The Government is committed to take ICT to the door-steps of the mass people and has, therefore, taken several significant steps to develop infrastructure and legal framework of ICT. The ICT Act (Amendment), 2009 and National ICT Policy, 2009 have already been promulgated. The policy contains 10 objectives and, to meet these objectives 306 action items were identified to implement on short, medium and long term basis. Ministries/ Divisions and government agencies were given responsibilities for implementing the action items. Some of them were implemented immediately as quick-wins. These include payment of utility bills, purchase of railway tickets, and information on availability of seats of trains, early warning for natural disaster and e-purjee for sugarcane farmers using mobile phones. Use of mobile technologies in publication of results of various examinations and in university admission has reduced the time, hassle and cost of the students and their parents to a large extent. Information and service centres were established with a view to delivering services to the door-steps of the people and steps have been taken to expand and diversify these initiatives. The Government constituted Digital Bangladesh Task Force in 2009 by renaming the National ICT Task Force. The aim is to expand the use and application of ICT by scaling up digital literacy at every strata of the society; ensuring service delivery to the citizens through the use of 201

ICT; reducing poverty through expansion of ICT-based industry; generating employments in knowledge-based industry; and building a modern and developed country to be branded as Digital Bangladesh through introduction of e-commerce and e-governance. In order to ensure service delivery to the citizens through development of ICT, steps have been taken to establish a separate Department of ICT. Controller of Certifying Authority (CCA) Controller of Certifying Authority has been established to introduce digital signature in order to implement Informationn and Communication Technology Policy-2009 and Information and Communication Technology Act for achieving the target of introducing e-commerce, etransaction and e-governnace as the foundation of building the Digital Bangladesh. The authority is established as an attached office under Ministry of Information and Communication Technology as per the article 18 of ICT Act. The following benefits can be achieved as a result of introducing digital signature: Safe and secured transaction of most of the important digital information will be ensured; Introducing e-commerce, e-payment, e-transaction and e-procurement will be eased up through Controller of Certifying Authority; Contrller of Certifying Authority will play influential role to ontrol cyber crime.

Bangladesh Computer Council (BCC) Bangladesh Computer Council has taken a number initiatives to promote the use of ICT. Some of the notable steps include:

Framing laws, rules and policies for the development of ICT in the country; Framing ICT Rules (Certification Authorities) 2010 to introduce digital signature; Taking initiatives to establish cyber tribunal as per ICT Act 2006; Retaining the ICT incubator at BDBL Bhaban at Kawran Bazar with 47 ICT companies with a view to promoting ICT industry; Taking initiatives to setup a software technology park (STP) in Janata Tower; Taking initiatives to establish STPs in all divisional headquarters; Establishing 3172 computer labs in educational institutions during FY 2009-10 and FY 2010-11 to expand ICT education at the grass-root level of the country; Establishing 1013 solar-powered e-centres at union level; Establishing national data centre to facilitate service delivery in electronic forms;

202

Upgrading the standard on Bangla Character Code Set to unicode-based standard to expand the use of Bangla in ICTs. The upgraded version was adopted by BSTI in February 2011 as BDS 1520:2011. Formulating the standard on Mobile Bangla keypad. The standard was adopted by BSTI in February 2011 as BDS 1834:2011.

Development Project undertaken by BCC Development of National ICT Infra-Network for Bangladesh Government Project A project titled Bangla GovtNet is being implemented with an estimated cost of Tk 281.48 crore of which project aid is Tk 214.40 crore through soft loan of Korean Government for proper and successful implementation of e-government in the country. At the first phase, all Ministries/Divisions, main Departments/Agencies, all 64 District Controllers office and at least 64 TNO office will be brought under the network by using telecommunication infrastructure of the country. Basic ICT Skill Transfer Upto Upazilla Level Project A project titeld Basic ICT Skill Transfer Upto Upazilla Level has started its implementation since January, 2011. The project is being implemented through establishing computer laboratory for at least two educational institutions including one school and one college at district level. The main activities of these laboratories are to create master trainers in regular ICT areas along with imparting training.

Development Programmes undertaken by BCC BCC has undertaken 17 development programmes to implement Digital Bangladesh. Meanwhile, Information Service Centre has been established at union and upazilla level. The main activities of the programmes are as follows: Installation of lab computer across the country; Introducing union and upazilla Information Service Centre. Introducing digital filing system and high speed internet in government institutions. Introducing digital signature. Reaching ICT service at the door-steps of the people.

203

Hi Tech Park In order to attract big transnational companies and world-class investors, construction of infrastructural facilities for Hi-Tech Park at Kaliakoir, Gazipur is underway. In the first phase, under a project titled Basic Infrastructure for Hi-Tech Park at Kaliakoir, Gazipur (first phase) the basic infrastructure was built at a cost of Tk 26.68 crore .With a view to ensuring the involvement of investors another project titled Establishment of High Tech Park at Kaliakoir, Gazipur has been taken up for implementation at a cost of Tk. 18.96 crore.The project will be implemented under public private partnership (PPP) initiative. IT Village at Divisional Level Steps have been taken to establish IT villages in Dhaka (Mohakhali), Khulna, Rajshahi and Jessore respectively as part of the programme for creating IT villages at the divisional level. Bangladesh Postal Department The Postal Department is an attached department of the Ministry of Post and Telecommunication. The main tasks, among others, of this department are collection, transmission and delivery of the postal articles. It principally aims to ensure quicker service at a minimum cost through 9884 post offices operating across the country. In recent times postal service has been made available outside Bangladesh as well.Apart from the core ones, this department is rendering a number of other services, of which parcel (domestic and international), registration, insured articles (domestic and international),VPP, money order services, GEP services, EMS services, Intel post (Fax service), newspaper registration and e-post are worth mentioning. Besides the core services, agency services are also provided by which it earns a fixed amount of commission. These services are: post office saving Bank (normal and fixed accounts), postal life insurance, saving certificates (sale and encashment), prize bond (sale and encashment), radio license (issue and renewal),collection of vehicle taxes and renewal of driving licenses, sale of revenue and non-judicial stamps, bidi band role sale, collection of presumptive income taxes, delivery and collection of telephone bills, print and sale of all non-postal stamps.The basic difference, however, between agency services and the core services is: agency services are rendered only domestically, while the core services are available both at home and abroad. Post Office Savings Bank: During FY 1999-00, the deposit at postal savings bank stood at Tk. 984.77 crore and the amount of withdrawal stood at Tk. 1,075.71 crore. In FY 2011-12, the deposit at postal savings bank was recorded Tk.4,912 crore and the amount of withdrawal stood at Tk. 5,689 crore. Savings Certificate: During FY1999-00, the sale of savings certificate was recorded Tk. 967.88 crore and the amount of encashment recorded was Tk. 832.82 crore. During FY 2011-12 the sale

204

of savings certificate was recorded Tk. 4,978 crore and the amount of encashment recorded was Tk. 3,201 crore. Electronic Money Transfer Service(EMTS): A new postal service branded as EMTS was introduced in May, 2009. Within a short span of time, this inland remittance service has became popular. In FY 2011-12 (up to February 2012), the total number of EMTS issued was 29,29,612 and amount involved was Tk. 1,339 crore against which BPO earned Tk.9.24 crore.

205