Investment & Trade
Bangladesh Investment Act 2019
No downloadable file attached to this publication
Visit the source page for more details: https://bida.gov.bd/
Executive Summary
The Bangladesh Investment Act 2019 is the primary statute governing both domestic and foreign investment in Bangladesh. It replaced the earlier Industrial Policy 2016 and consolidated previous piecemeal legislation. The Act establishes BIDA as the apex investment promotion agency, mandates a One-Stop Service (OSS) for investor facilitation, defines the legal protection against expropriation (with compensation at fair market value), and provides for unrestricted repatriation of capital, dividends, and royalties for foreign investors. Key provisions include: 100% foreign equity allowed in most sectors (with a small negative list), tax holiday of 5-10 years for selected sectors, reduced corporate tax for export-oriented enterprises, customs duty exemption on capital machinery, VAT exemption on local procurement of capital equipment for export sectors, and a special economic zone (SEZ) regime with additional incentives. The Act also created the Investment Development Fund and established an Investor Grievance Redressal mechanism.
Key Points
- Enacted 2019 by Bangladesh Parliament
- Replaced Industrial Policy 2016
- Established BIDA as apex investment promotion agency
- 100% foreign equity allowed in most sectors (negative list published)
- Tax holiday 5-10 years for selected sectors
- Customs duty exemption on capital machinery import
- VAT exemption on local procurement of capital equipment (export sectors)
- Unrestricted repatriation of capital, dividends, royalties
- Protection against expropriation (with fair market value compensation)
- SEZ regime with additional incentives
- Investor Grievance Redressal mechanism
- One-Stop Service (OSS) for investor facilitation
Full Details
The primary legislation governing foreign and domestic investment in Bangladesh. Outlines investor rights, protections, and BIDA's mandate.