Nepal Minister of Communication and Information technology (MOCIT) has announced to reduce the Internet price to the customers, Nepali Telecom reports. Minister of MoCIT plans to reduce Ntc Internet price by cutting internet bandwidth costs from abroad. nepal internet

One of the most expensive costs on the Internet is the bandwidth that the operator buys from abroad. Nepal buys internet bandwidth from India and China. The current cost of 1 Mbps internet bandwidth is 18 USD. He commits to reducing the price to 12 USD per 1 Mbps within 7 to 10 days.

As per Minister Baskota, the internet price when he joined Ministry, was $30. With the agreement with the provider, he said that they have reduced the price to $18. After more discussion, they are going to cut down the bandwidth cost by $6 to $12. With the reduction, they will bring more internet bandwidth at the same cost, increasing the internet speed.

Minister says it will be beneficial to both the operator and customers. Out of $6 reduction, they can increase the internet bandwidth using $2. They can decrease the cost of internet to customers using $2. Ultimately the company will make $2 profit from the internet cost reduction.

If we do the analysis for how much percentage the price cut be, $2 reduction out of $12 is 16.7 %.

So, we can expect a price cut of 16.7% for the same value. In this fiscal year, the addition of TSC to the internet increased its price. But later, with some agreement, the home internet price was revoked, but the mobile internet price hike remained the same. Talking about internet prices, we do not know whether it is fixed or mobile internet that Minister Baskota refers to.

There is a huge outcry in public about the high price of the internet. If the above price reduction course works, the usage of the internet will also increase, benefiting the operator more.