Dhaka, Bangladesh (BBN)- The state-run Bangladesh Submarine Cable Company Limited (BSCCL) on Monday signed a memorandum of understanding with the Indian state-owned telecommunication company Bharat Sanchar Nigam limed (BSNL) to lease internet bandwidth to the neighbour.

Monwar Hossain, managing director of Bangladesh Submarine Cable, said the BSNL will initially lease 10 Gbps (Gigabits per second) of bandwidth from Bangladesh and take another 30 Gbps within eight months.

The prices will be set when a final agreement will be signed between the two parties within a week, Mr. Hossain said, adding that the contract of the lease will be for three years and could be extended later.
 

He said the BSCCL would export up to 40 Gbps in next five years with floating price. “We’ll review the price in every year to match the international market and to protect best interest of the country.”
 

Currently, Bangladesh is connected via the SEA-ME-WE-4 with 200 Gbps (88MIU-km) bandwidth and of which, the country uses 32Gbps.

The country is expected to be connected with second submarine cable SEA-ME-WE-5 by the first quarter of 2016 which will increase the total capacity to 1,400 Gbps.

BBN/SSR/AD-13May14-1:04 pm (BST)