Bangladesh – Your Dream Investment Destination
孟加拉 – 夢寐以求投資目的地
Key Facts on Bangladesh
Whay Bangladesh?A Winning Combination
Bangladesh is a winning combination with its competitive market, business-friendly environment and competitive cost structure that can give you best returns.
Industrious low-cost workforce
Bangladesh offers a well-educated, highly adaptive and industrious workforce with the lowest wages and salaries in the region. About 57.3% of the population is under 25, providing a youthful group for recruitment. The country has consistently developed a skilled workforce catering to your needs. English is widely spoken, making communication easy.
Strategic location, regional connectivity and worldwide access
Bangladesh is strategically located next to India, China and ASEAN markets. As the South Asian Free Trade Area (SAFTA) comes into force, investors in Bangladesh enjoy duty – free access to India and other member countries.
Strong local market and growth
Bangladesh has proved to be an attractive investment location with its 152 million population and consistent economic growth leading to strong and growing domestic demand.
Low cost of energy
Energy prices in Bangladesh are most competitive in the region.
Proven export competitiveness
Bangladesh enjoys tariff – free access to the European union, Canada, Australia and Japan. In Europe, Bangladesh enjoy 60% of the RMG market share and is the top manufacturing exporter amongst 50 LDC countries.
Bangladesh offers the most liberal FDI regime in South Asia, allowing 100% foreign equity with unrestricted exit policy, remittance of royalty and repatriation of profits and income.
Export and Economic Zones
Bangladesh offers export-oriented industrial enclaves with infrastructural facilities and logistical support for foreign investors. The country is also developing its core infrastructures, including roads, highways, surface transport and port facilities for a better business environment.
A largely homogenous society with people living in harmony irrespective of race and religion, Bangladesh is a democratic country enjoying broad bi-partisan political support for private investment. The legal and policy framework for business is conductive to foreign investment.
Investment Climates of Bangladesh
- Bangladesh is one of the top exporters of readymade garments to US & Europe
- Risk factors for FDI are the minimum in Bangladesh
- Bangladesh never posted negative economic growth during the past 30 years
- Bangladesh has an open, market-based economy led by a vibrant and innovative private sector which provides the main stimulus to its growth
- Growing markets, with innovative entrepreneurs, offer greater business opportunities
- Existing slacks in the economy of Bangladesh offer enormous opportunities of high return and low risk investments in infrastructures, Utilities, manufacturing and consumer goods industries
- Bangladesh has never defaulted in its debt repayments, nor asked for their rescheduling
- Bangladesh is a homogeneous country with no religious, ethnic or other forms of cultural conflicts
- Bangladesh has outstanding records in human rights
- Bangladesh is one of the largest contributors to UN peacekeeping force and missions and the records of the forces have been exemplary and laudable
- Goldman Sachs has identified Bangladesh as one of the next big eleven emerging markets
- City Investment Research & Analysis has earmarked – “Bangladesh is among 11 Countries which have the most promising growth prospects.”
- Corporate tax holiday (outside EPZs): 5 to 7 years for selected sectors
- Accelerated depreciation on cost of machinery for new industries in lieu of tax holiday
- Avoidance of double taxation under bilateral tax convention
- Tariff concessions on import of capital machinery
- Tariff concessions on import of raw materials of the export oriented industries
- Bonded warehousing facility
- Cash incentives and export subsidies ranging from 5% to 20% on the FOB value of selected products
- Funds for export promotion, export credit guarantee scheme, permission for domestic sales up to 20% by export-oriented companies outside EPS.
- Remittance of royalty, technical know-how and technical assistance fees
- Citizenship by investing a minimum of US$ 500,000 and permanent resident permits on investing US$ 75,000
- And many more …
One of the factories in Bangladesh
Investment Promotion and Protection
The promotion and protection of Investment in Bangladesh is principally governed by statues and guidelines mentioned below. These statues and guidelines ensures protection against expropriation nationalization and offer equal treatment for the domestic and foreign investors. The entry and exit policy is the most liberal in south Asia. Full repatriation of equity, dividend and royalties is allowed.
The governing statues and guidelines are
- The Foreign Private Investment (Promotion and Protection) Act 1980
- The Board of Investment Act 1989
- The Companies Act 1994
- The Economic Zones Act 2010
- The Private Public Partnership (PPP) Guidelines
- The Industrial Policy 2010
- The Export Policy 2009-12
- The import Policy 2009-12
Well-educated work forces
Information & communications technology, infrastructures, textiles, electronics, light engineering, power & gas, ship-building, green technology, frozen foods, leather & leather products, ceramics, agro-based industries, pharmaceuticals, tourism etc.
There are some business sectors in which Bangladesh has a particularly competitive edge and gaingul investment opportunities for exceptional returns. These range from ship-building to ceramics, from float glass to tourism. Some of your key opportunities are:
Quality garment design and production
From spinning to weaving, from knitwear to leisurewear and high street fashions, the textiles and clothing industry is bangladesh’s biggest export earner with over USD 16.1bn of exports in FY2011. Our factories design and produce for the world’s leading brands and retailers. Quality products on time, reliable.
Talented ICT and business services
From inbound call centers to the latest in Web 2.0 software development, widespread English helps make Bangladesh an emerging option for the global business services industry. Our promising ICT sector ready to win you over.
The WTO TRIPS agreement permits Bangladesh to reverse-engineer patented generics to sell locally and export to markets around the world. This has created a strong manufacturing and technically experienced base with growth of 12% a year and a potential for R&D and clinical trials.
Over 90 varieties of vegetables are grow in Bangladesh. There are huge opportunities for investment in cold storage for export produce, production of fertilizers and seeds, eco-friendly jute products, shrimp farming, halal foods, milk, value added foods for export – an endless list.
Bangladesh has a mature tanning industry, producing around 2-3% of the world’s leather from a ready supply of raw materials. With good export incentives plus tariff and quota free access to major markets such as the EU, Bangladesh is an unrivalled location to outsource the manufacture of finished leather products.
All the hotels provide deluxe accommodation
Investment Trend in Bangladesh
(Projects Registered with Board of investment)
Source : Board of investment
BOI function are broadly categorized into three groups: - investment promotion, investment facilitation and policy advocacy.
Its facilitating services include, among others:
- Pre-investment information, counseling and welcome (faster immigration) services
- Registration of foreign, joint-venture and local industrial projects
- Approval of foreign commercial offices (branch/liaison/representative offices)
- Approval or work permit for the foreign nationals
- Facilitation of import of capital machinery and raw materials etc.
- Processing of foreign borrowings
- Facilitation of obtain utility connections and industrial plots
- Approval of remittance of royal, technology transfer, technical know-how and technical assistance fees
- Online Registration System (ORS)
- Business Laws website
- BOI Online Service Tracking (BOST)
“BOI has one goal- to make thing easy for its clients who are our most important visitors. We need them more than they need us. All our services and delivery system are based on this reality.”