The information technology (IT) sector in Bangladesh developed from institutional computer use in the 1960s into an industry covering software development, IT-enabled services (ITES), computer consultancy, hardware support and other digital services.

In the 2024–25 fiscal year, Bangladesh's ICT service exports reached US$724.6 million. Computer services, including software development, outsourcing and IT-enabled services, accounted for about 87 percent of the total. The Business Standard reported more than 4,500 software and IT-enabled service companies employing over 300,000 professionals in 2025.

History

The first computer in what was then East Pakistan was installed at the Pakistan Atomic Energy Commission's Atomic Energy Centre in Dhaka in 1964. It was an IBM 1620 mainframe used mainly for scientific and mathematical calculations. Banks, government organisations and industrial enterprises subsequently introduced additional mainframe computers during the 1960s and 1970s.

In September 1979, Bangladesh University of Engineering and Technology (BUET) established a computer centre equipped with IBM mainframe systems. The centre became an early institution for computer education and the dissemination of computing technology in Bangladesh. Personal computers became more widely available during the late 1980s, while computer use expanded more rapidly from the mid-1990s.

Bangla writing on computers was first implemented in 1987 when engineer Mainul Islam developed the Mainulipi font for Apple Macintosh computers. In 1988, the Bijoy interface and an associated Bangla keyboard layout were developed. Export-oriented software development began in 1995, followed by exportable multimedia development in 1997.

Internet access also developed during the mid-1990s. Limited Internet use began in 1995 through offline e-mail services. A very-small-aperture terminal (VSAT) was established for Internet connectivity in 1996, after which online Internet service became available through commercial Internet service providers.

Institutional development began earlier. A national committee for government computer procurement was formed in 1983 and renamed the National Computer Board in 1988. In 1989 it was reorganised as the Bangladesh Computer Council under the Ministry of Science and Technology.

Bangladesh began developing a national information-technology policy in 1997. The government adopted a National ICT Policy in 2002 that designated ICT as a priority sector. The concept of Digital Bangladesh became part of the governing party's electoral platform in 2008, and a revised National ICT Policy was approved in 2009.

Industry and exports

The commercial IT industry includes software development, IT-enabled services, business-process outsourcing, computer consultancy, installation and hardware support. More than 4,500 software and IT-enabled service companies were operating in Bangladesh by 2025, with reported employment exceeding 300,000 professionals.

Official data reported by The Business Standard put ICT service exports at US$724.6 million in fiscal year 2024–25, an increase of 7.7 percent from the previous year. Computer services accounted for US$629.5 million, or about 87 percent, while telecommunications services represented about 13 percent and information services less than 1 percent. Computer-service exports had increased from US$239.9 million in fiscal year 2018–19 to US$629.5 million in 2024–25.

During the first five months of fiscal year 2025–26, from July through November 2025, IT exports reached US$269.84 million, compared with US$237.67 million during the same period a year earlier, according to Export Promotion Bureau data reported by The Daily Star. IT-enabled services accounted for most of this amount, while software exports also recorded year-on-year growth.

The national-accounts category used by the Bangladesh Bureau of Statistics is broader than the software and IT-services industry. In fiscal year 2024–25, the category "information and communication" accounted for 1.25 percent of total gross value added at constant basic prices.

Digital access

Internet and computer use have expanded substantially, although access and digital skills remain uneven. The Bangladesh Bureau of Statistics' 2024–25 Survey on Measuring the Opportunities and Usage of ICT found that 53.4 percent of individuals used the Internet and 88.4 percent used a mobile phone. Computer use was considerably lower, at 11.3 percent of the population.

The survey also found differences by gender and geography. Internet use was reported at 56.6 percent among males and 50.2 percent among females, while districts including Dhaka, Narayanganj and Chattogram recorded higher levels of digital access than several northern districts. The survey covered approximately 264,000 households across all 64 districts.

Policy and regulation

Government policy toward information technology has included industry development, digital public services, connectivity and digital skills. The National ICT Policy adopted in 2009 formed part of the wider Digital Bangladesh programme, which included digital government, development of the IT industry, human-resource development and improved connectivity.

In 2026, Bangladesh enacted new legislation covering cybersecurity and personal data. The Cyber Security Act 2026 replaced the Cyber Security Ordinance 2025 and provides for a National Cyber Security Agency. The agency is administratively attached to the ICT Division.

The Personal Data Protection Act 2026 establishes rules for the processing, protection and security of personal data, including obligations on data controllers and processors to take technical and organisational measures against unauthorised access, disclosure, alteration or destruction.

Challenges and recent trends

Despite export growth, Bangladesh did not reach the earlier government target of US$5 billion in ICT exports by 2025. Official ICT service exports in fiscal year 2024–25 were US$724.6 million. Industry executives and analysts interviewed by The Business Standard identified shortages of advanced technical skills, low investment, policy uncertainty, limited international visibility and difficulties scaling small and medium-sized technology firms as constraints on export growth.

Internet reliability has also affected technology businesses. A nationwide Internet blackout during political unrest in July 2024 disrupted software companies, digital businesses and freelancers. Rest of World reported estimates from industry associations that losses to the technology sector and related digital businesses reached at least US$300 million during the disruption.

Artificial intelligence has become another factor shaping the sector. Export data for the first five months of fiscal year 2025–26 showed growth in software and IT-enabled services amid increased demand for automation and AI-integrated applications. Industry executives interviewed by The Daily Star also reported that AI-assisted development was increasing productivity while reducing demand for some routine tasks, increasing the importance of reskilling and higher-value technical work.

See also Bangladesh Computer Council Internet in Bangladesh E-commerce in Bangladesh Call centre industry in Bangladesh Science and technology in Bangladesh Telecommunications in Bangladesh

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