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We have tried to get most of the necessary information that any foreign investors in Bangladesh will be looking for. All the information given here is from the Board Of Investment, Bangladesh.

If you want more information then contact us at: bdinfo@hayes-bd.com

Board Of Investments 

The government of Bangladesh established the Board of Investment (BOI) in 1989 for accelerating private investment in Bangladesh. The Board, headed by the Prime Minister of the republic and represented by ministers and secretaries of the concerned ministries, is vested with necessary powers to take decision for speedy implementation of new industrial projects and provide operational support services to the existing ones.

MAJOR FUNCTIONS OF BOI

• Promotion of investment 

• Providing all types of facilities for capital investment and rapid industrialisation.

• Registration of industrial projects, foreign loan agreements, royalty, technical know-how; technical assistance agreement wherever required

• Providing assistance to avail infrastructure facilities for industries

• Issuing work permit to expatriate personnel working in private sector industrial enterprise 

• Providing import facilities to industrial units in private sector

• Approval of the terms and conditions of foreign private loan and suppliers` credit beyond the prescribed limit

• Approval of payment of royalty, technical know-how and technical assistance fees to foreign nationals/organisations beyond the prescribed limits and

• Recommendation for allotment of land in the industrial areas/estates for industrial purpose. In addition, BOI assist inventors in obtaining the following services:

  • Electricity, gas and water connection

  • Sewerage connection

  • All kinds of telecommunication facilities

  • Custom clearance for imported machineries, spare parts and raw materials

  • Clearance regarding environment pollution; and 

  • Other facilities and services that may be required for speedy setting up of industries 

The Executive Council of BOI comprising of an Executive Chairman and Members entrusted with the responsibility of creating a congenial climate for industrial investment in Bangladesh by simplifying the procedural matters and providing necessary facilities and services to the investors.

The decision of the Board is deemed as decision given by the government and required to be implemented by all concerned agencies.


Industrial Policy

Liberalisation of industrial policy in Bangladesh started with the announcement of Industrial Policy, 1982. This was followed by successive reforms and amendments within the broad theme of a liberalised and competitive market economy.

SALIENT FEATURES OF THE POLICY

The Industrial Policy, 1991 (Revised in 1992) is based on the philosophy of market economy. The objectives of the policy are to:

• Develop the industrial sector in order to increase its contribution to the gross domestic products, income, resources and employment

• Expand industries by putting more emphasis development of the private sector and in this respect to make the role of the government 'promotional' rather than 'regulatory'

• Encourage domestic and foreign investment in overall industrial development

• Develop export-oriented, export-linkage and efficient import-substitute industries

• Encourage specially the development of small & cottage industries

• Expedite development of labour intensive industries through acquisition and improvement of appropriate technology

• Encourage the development of agro-based and agro-supportive industries

• Stimulate development of industries based on indigenous raw materials and indigenous technology

• Motivate investment in the intermediate and basic industries

• Confine the role of the government particularly in establishing strategic and heavy industries and to improve efficiency of the public sector

• Create possible opportunities for revitalising and rehabilitating controlling quality of products; and 

• Take appropriate measure for preventing environmental pollution and maintaining ecological balance.

Foreign Investment

Private investment from overseas sources is welcome in all areas of the economy with the exception of only five industrial sectors (reserved for public sector). Such investments can be made either independently or through joint venture on mutually beneficial terms and conditions. In other words, 100% foreign direct investment as well as joint venture both with local private sponsor or with public sector is allowed, Foreign investment, however, is specially desired in the followings categories of industries.

• Export-oriented industries

• Industries in the export processing zones

• High technology products that will be either import substitute of export oriented

• Undertakings in which more diversified use of indigenous natural resources is possible

• Basis industries based mainly on local raw materials

• Investment towards improvement of quality and marketing of goods manufactured and /or increase of
  production capacities of existing industries; and

• Labour intensive/ technology oriented/ capital intensive industries

Registration/Sanctioning Authorities

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