Invest in Bangladesh
Bangladesh — The Rising Star of Asia. One of the fastest-growing economies in the world with strategic market access, competitive labor costs, and investment-friendly policies.
Why Bangladesh?
Key economic indicators that make Bangladesh an attractive investment destination
Investment Opportunities
High-potential sectors for foreign investment in Bangladesh
Textiles & Apparel (RMG)
World's 2nd largest RMG exporter with 230+ LEED-certified factories and duty-free access to major markets.
Pharma & API
Meets 97% of domestic medicinal demand. 150+ export destinations. $6B pharma market size.
IT & IT-Enabled Services
650K+ registered freelancers. $2.1B IT services market by 2025. Growing global connectivity.
Leather & Footwear
3,600+ footwear making units. Largest global footwear producer potential. Strong export growth.
Agribusiness
70M+ metric tons annual agri output. $7.3B packaged food market. Growing CAGR in agro-sector.
Light Engineering
$8.2B domestic demand. 28.3% CAGR (2017-2022). Growing manufacturing base.
Renewable Energy
Solar home systems installed. Annual power demand growth. Renewable target by 2030.
Semiconductor
20K+ graduates in EEE & CSE. $8M+ global market by 2033. Emerging sector with government support.
Investment Process
Step-by-step process for foreign investors to start business in Bangladesh
📋 Company Registration
Register with the Registrar of Joint Stock Companies and Firms (RJSC). Obtain Trade License from local City Corporation/Municipality.
🏛️ BIDA Approval
Apply to Bangladesh Investment Development Authority (BIDA) for investment registration. Submit project profile, financial projections, and required documents.
🏦 TIN, VAT & Bank Account
Obtain Tax Identification Number (TIN) and Business Identification Number (BIN/VAT). Open a bank account with a scheduled bank in Bangladesh.
📄 ERC & IRC
Obtain Export Registration Certificate (ERC) from CCI&E for export business, or Import Registration Certificate (IRC) for import business.
🌱 Environmental Clearance
Obtain Environmental Clearance from Department of Environment (DoE) if the project falls under prescribed categories.
📌 Sector-Specific Licenses
Obtain additional licenses from relevant authorities (BTRC for telecom, BGMEA for garments, DDA for drugs, etc.) depending on the sector.
Global Recognition
Bangladesh's economic achievements recognized globally
Investment Incentives
Government incentives for foreign investors
Tax Holiday
Tax exemption for 5-10 years depending on location and sector. Applicable to power, textile, pharmaceuticals, and more.
Customs Duty Exemption
Duty-free import of capital machinery and raw materials for export-oriented industries.
Cash Incentive
1-20% cash incentive on export earnings for selected sectors (RMG, jute, leather, agro, IT).
Repatriation of Profit
Full repatriation of capital, dividends, and profits allowed for foreign investors.
EPZ & EZ Facilities
Special Economic Zones and Export Processing Zones with infrastructure, tax breaks, and one-stop service.
One-Stop Service
BIDA Online OSS Portal provides 150+ services from 35+ agencies through a single platform.
BIDA One-Stop Service (OSS) Portal
The Bangladesh Investment Development Authority (BIDA) operates a digital single-window platform at bidaquickserv.org for foreign and domestic investors.
78 Online Services
Investment registration, work permits, environmental clearance, utility connections, sector-specific licences — all from one portal.
Unique OSSPID
Each investment project receives a unique One Stop Service Project ID used across all government interactions.
SLA-backed Processing
Service Level Agreements mandate response times: 7 days for work permits, 90 days for large industrial project approvals.
Integrated Payment
Credit card, mobile financial services (bKash/Nagad), and bank transfer — all integrated for fee payment.
Service Tracking
Real-time tracking of every submitted service request. Email + SMS notifications at every status change.
Bilingual Portal
Full English + Bangla interface. Document library with templates for every service.
Special Economic Zones (SEZs) & EPZs
Bangladesh operates 8 Export Processing Zones (EPZs) under BEPZA + 97 designated Special Economic Zones (SEZs) under BEZA, offering plug-and-play infrastructure.
8 Active EPZs
Chattogram, Adamjee (Narayanganj), Cumilla, Ishwardi, Karnaphuli (Dhaka), Mongla, Uttara (Nilphamari), and Ullon (Mirsharai). Managed by BEPZA.
97 Designated SEZs
Under the Bangladesh Economic Zones Act 2010, BEZA has licensed 97 SEZs across the country — 39 already operational, 58 under development.
SEZ Incentives
10-year tax holiday (100% first 3 years, 50% next 3, 25% final 4). Customs duty exemption on capital machinery + raw materials. VAT exemption on local procurement.
Bangabandhu Sheikh Mujib Shilpa Nagar
Flagship SEZ spread over 30,000 acres in Mirsharai, Chattogram — dedicated Japanese, Korean, Indian, Chinese, and SME zones.
Indian SEZs in Bangladesh
3 dedicated Indian SEZs (Mongla, Mirsharai, Bhaluka) under the 2022 India-Bangladesh MoU — plug-and-play factories for Indian investors relocating from China.
Hi-Tech Parks
39 Hi-Tech Parks under Hi-Tech Park Authority (BHTPA). Kaliakair Hi-Tech City, Bangabandhu Hi-Tech City, Jessore Software Technology Park. IT/ITES tax holiday until 2027.
Foreign Direct Investment (FDI) Statistics
FDI inflows by year and source country, sourced from Bangladesh Bank quarterly FDI reports.
Source: Bangladesh Bank FDI Statistics · Updated quarterly
Foreign Worker Employment & Visa Process
Process for bringing foreign employees to work in your Bangladesh subsidiary.
Employment Visa (E-Visa) — Initial 3 Months
Apply at Bangladesh Embassy/High Commission in the employee's home country. Requires BIDA recommendation letter + employment contract + educational certificates. Issued for 3 months initially.
Work Permit — Up to 5 Foreign Nationals
Apply to BIDA within 30 days of arrival. Standard limit: 5 foreign nationals in regular employment OR 20 foreign nationals in senior management for 100% export-oriented factories. Valid 1-3 years, renewable.
Police Verification & FR Registration
Register with local police station within 7 days. Special Branch (SB) verification. Register with Special Branch (Foreigners Registration) for residential permit.
Income Tax (AIT) on Foreign Salary
Foreign employees pay Advance Income Tax at 30% (or treaty rate, whichever lower) on Bangladesh-sourced salary. Tax Treaty countries: 28 including USA, UK, Singapore, Malaysia, UAE. TIN required.
Multiple Re-Entry Visa
After work permit approval, convert E-Visa to multiple re-entry visa valid for 1-3 years. Allows unlimited exit/re-entry during validity period.
Cost of Doing Business in Bangladesh
Indicative operating costs (2024-25) — among the most competitive in South Asia.
Sector-Specific Incentive Map
Find which incentives apply to your sector — and the specific SRO/circular that grants them.
Source: Bangladesh Bank Circular EF-3 (Sep 2024), National Budget 2024-25, Export Policy Order 2021-24, Industrial Policy 2016.
Tax Treaty Network
Bangladesh has signed Double Taxation Avoidance Agreements (DTAAs) with 28 countries — key for foreign investors avoiding double taxation.
Source: NBR Tax Treaty Database · Full list at nbr.gov.bd/treaties
BIDA-Registered Foreign Investment (Recent Trends)
Number of new foreign investment projects registered with BIDA, by sector.
Source: BIDA Annual Statistics 2023-24
Industrial Policy 2016 — Key Provisions
The Industrial Policy 2016 (still in effect, with 2024-25 amendments) is the master policy framework for industrial investment in Bangladesh.
Thrust Sectors
9 priority sectors eligible for maximum incentives: RMG, leather, agro-processing, pharmaceuticals, light engineering, IT/ITES, jute diversification, footwear, shipbuilding.
100% Foreign Equity
Foreign investors can own 100% equity in most sectors (small negative list published by BIDA). No minimum capital requirement for Bangladeshi-owned companies; USD 50,000 minimum for foreign-owned.
Indefinite Loss Carry-Forward
Industrial undertakings can carry forward losses indefinitely (with conditions). Especially beneficial for new factories with long payback periods.
Reduced Import Duty
Capital machinery import: 1% customs duty (vs 25% statutory). Raw materials for export: 0% under bonded warehouse. Reduction available for selected domestic-market goods.
Green Industry Incentive
Additional 10% tax deduction for expenses on environmental compliance (ETP, LEED certification, renewable energy installations). Loan at concessional rate from Bangladesh Bank's refinance scheme.
Women Entrepreneur Quota
10% industrial plots reserved for women entrepreneurs. Special loan scheme at 9% interest (vs 11-14% standard). Dedicated incubation centres in 8 divisions.
📥 Investment Publications & Handbooks
Official BIDA investment guides, handbooks, and brochures — download free from our publications library
Practical operations guide for foreign companies setting up offices in Bangladesh.
View & Download →Most current (February 2026) licensing reference for businesses in Bangladesh, updated after the lau...
View & Download →Marketing brochure from BIDA highlighting key investment opportunities, sectors, and incentives.
View & Download →Detailed matrix of tax and duty incentives available for investors in Bangladeshs Economic Zones.
View & Download →Guide covering repatriation and exit procedures for foreign investors in Bangladesh.
View & Download →A comprehensive 14-page navigation kit for foreign investors covering why Bangladesh, key sectors, t...
View & Download →Booklet on the foreign direct investment framework in Bangladesh, covering legal structures, sectora...
View & Download →User guide for BIDAs B2B Matchmaking platform.
View & Download →Comprehensive sectoral and regulatory guide for investors in Bangladesh, covering all major sectors,...
View & Download →🏛️ BanglaBiz — One Stop Service Portal
The Bangladesh Business Portal (BanglaBiz) is the official one-stop platform for starting and running a business in Bangladesh, operated by BIDA.
100+ Government Services
BIDA Registration, Work Permits, Visa Recommendations, IRC, Environmental Clearance, Trade Licenses, Import/Export Permits — all in one portal.
6 Investment Promotion Agencies
BIDA, BEZA (Economic Zones), BEPZA (EPZs), BHTPA (Hi-Tech Parks), BSCIC (Small Industries), PPPA (Public-Private Partnership).
Start Business in 3 Days
Streamlined permit processing enables business registration within 3 working days for eligible sectors.
Know Your Approvals Wizard
Interactive wizard that identifies which approvals and licenses you need based on your business type and sector.
Official Resources & Downloads
Access official investment documents, handbooks, and legal frameworks
⚖️ Bangladesh vs Asian Manufacturing Competitors
How Bangladesh compares to other popular Asian manufacturing destinations for foreign investors
Data sourced from ILO, World Bank, EF English Proficiency Index 2024, USGBC, and respective government statistics. Wages are average manufacturing sector figures. Verify on bida.gov.bd.
📚 Deep Dive: Invest in Bangladesh 2026
Read our comprehensive 3,500-word pillar guide covering the 2026 investment landscape, 8 priority sectors, government incentives, economic zones, and the 6-step investment process — with verified data from BIDA, EPB, Bangladesh Bank, and BEZA.