Air conditioners move beyond cities into rural Bangladesh

Air conditioners are no longer a rare sight in rural Bangladesh. Ownership may still be low, but it is rising quickly—from just 0.43% of rural households in 2021 to 0.79% in 2023. Behind this shift lies a mix of practical realities: easier financing, improved energy efficiency, and increasingly harsh summers that are pushing families to rethink how they cope with heat.

For Tarannum Zaman, a primary school teacher from Matlab in Chandpur, owning an air conditioner once felt far beyond reach. Today, it is part of her everyday life. She describes coming home to the soft hum of cool air—something she never imagined a few years ago. Like many middle-income earners, she assumed such a purchase would remain a luxury. What changed was the availability of installment plans, which allowed her to pay a small upfront amount and spread the rest over time. The result, she says, has been a noticeable improvement in her daily comfort.

Her experience reflects a broader transformation unfolding across rural communities. As temperatures climb and access to consumer finance expands, air conditioners are gradually moving from luxury status to practical necessity. Advances in technology and flexible payment options are making this transition possible, while shifting expectations around comfort are reinforcing it.

The numbers highlight this change. While urban ownership also increased—from 5.19% to 6.92% over the same period—the rural rise is particularly telling. Nationwide, AC ownership grew from 1.60% to 2.28% between 2021 and 2023. Though still modest, this growth is significant in a country where cost, infrastructure, and electricity concerns have long limited adoption.

Demand has surged further in recent months, according to industry insiders, with sales more than doubling compared to typical seasonal levels. Prices have edged up slightly, yet consumers continue to buy. The driving force is not just rising incomes but also intensifying heat, especially in regions like Dinajpur, where summers are becoming increasingly difficult to endure.

For many, concerns about electricity costs once stood in the way. That hesitation is now easing with the spread of inverter technology, which uses far less power than older models. Arif Sarker, a small business owner from Dinajpur, said the decision became easier once he realised modern ACs could run at costs comparable to a ceiling fan. This shift in perception has been crucial in expanding demand beyond urban centres.

Equally transformative has been the rise of instalment-based purchasing. Paying Tk50,000 or more upfront remains unrealistic for many families, but EMI schemes have changed the equation. With down payments as low as 10%, households can now afford appliances that were previously out of reach. Retailers say this model has opened up markets in smaller towns and rural districts, where demand is steadily building.

Beyond economics, personal and emotional factors are also shaping buying decisions. In Pabna's Faridpur upazila, Aminul Islam decided to buy an AC primarily for his young son, hoping to provide some relief from the oppressive heat. Similar concerns are common among families living in tin-roofed houses, where indoor temperatures can become extreme. For them, cooling is not just about comfort but about wellbeing.

Health considerations are adding urgency to this trend. Extended exposure to high temperatures can aggravate existing conditions and lead to dehydration or heat-related illness. In that context, an air conditioner is increasingly seen as a practical safeguard rather than an indulgence.

Meanwhile, competition among brands is intensifying. Seasonal campaigns, particularly around Eid and peak summer, are offering substantial discounts, sometimes reaching 30% to 40%. For buyers like Tuku Miah, these promotions make all the difference, turning a distant aspiration into a feasible purchase.

Taken together, these factors are reshaping the rural consumer landscape. The statistics tell part of the story, but the deeper narrative lies with individuals like Tarannum, Aminul, and Arif—people navigating rising temperatures and changing economic realities. Their decisions point to a gradual but meaningful shift, where access, necessity, and adaptation are redefining what comfort looks like in rural Bangladesh.