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Why Invest in Bangladesh

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  • Economic and Social Highlights

     Consistent GDP Growth Rate(last one decade) more than 6.0%

     Per Capita GNI $1,940

     Annual FDI Inflows $ 1.7 Billion

     Export Earnings of $33.6 Billion

     Foreign Exchange Reserve (Feb 2021) $41.9 Billion

     127 million mobile subscribers (79% of total Population) and 48 million internet users (30% of Total Population)

  • Why Invest in Bangladesh

     Energy: The Government of Bangladesh guarantees uninterrupted quality power to EZ’s.

     Manpower:. With the 8th largest population, 160 million Bangladesh blessed with “Demographic Dividend” from Day labor to senior management, are ready to work

     Business Friendly:. The Government of Bangladesh fully supports the EZ movement and has taken the initiative to establish100 new economic zones throughout the country within 15 years.

     High-Growth Rate : Building on a consistent growth rate of 6% on average since 1994, the Government of Bangladesh aims to transform the country into a middle income country by 2021.

     Strategic location: Bangladesh being at the apex of the Bay of Bengal with India and other SAARC countries to the west, Japan, Korea, China and other ASEAN countries to the east, can emerge as a Mega Asian Growth Triangle for huge local and foreign markets.

     Performances of Existing EPZs are encouraging: Current performance of existing export processing zones (18%+ of national exports & 0.4 million employments) is favorable and encouraging.

  • Why Economic Zone

     All existing 8 EPZs are almost fully occupied with tenants; but contributions of Industry and Service sectors to GDP are increasing.

     Unsystematic industrialization in and around Dhaka city without special incentive package; excessive pressure of people on Dhaka with huge traffic jam and environmental degradation.

     Country’s lion shares of FDI (More than 80%) comes from Telco and Gas & Petroleum; To attract FDI from different industries and diversify export, EZ is the best solution with comprehensive facilities & incentives.

     India,Vietnam, China, Philippines are ideal example of successful decentralized industrialization in EZs/SEZs for more than three decades. So why not Bangladesh?

  • Competitive Incentives

    SL

    Incentives

    Explanation

    1

    Income Tax exemption

    1st 10 years – 100%

    11th year – 70%

    12th year – 30%

    2

    Income tax exemption on dividend for 10 years

    100% Exemption

    3

    Income tax exemption on capital gains from transfer of shares for 10 years

    100% Exemption

    4

    Income tax exemption on royalties, technical know-how and technical assistance fees etc for 10 years

    100% Exemption

    5

    Duty free import of goods to be used for the development of Zones (except for MS Rod/Bar, Cement, Pre-fabricated Building, Iron/Steel Sheet)

    100% Exemption

    6

    Land development tax exemption

    100% Exemption

    7

    Exemption from tax sub tax, rate, toll, fees etc imposed under section 65 of Local Government (Union Parishad) Act, 2009

    100% Exemption

    8

    Exemption from tax on transferring immovable property imposed under section 44 of UpazillaParishad Act, 1998

    100% Exemption

    9

    Exemption of Stamp Duty on registration of loan document with Scheduled Bank

    100% Exemption

    10

    Stamp duty is exempted at the time of transferring land in favor of the Consortium, Joint Venture (Private EZ developers) formed for the purpose of setting up the zone.

    100% Exemption

    11

    Income Tax deducted at source ( under section 53H of the Income Tax Ordinance 1984) is exempted at the time of transferring land in favor of the Consortium, Joint Venture (Private EZ developers) formed for the purpose of setting up the zone.

    100% Exemption

    12

    Registration fees (Registration Act 1908) is exempted at the time of transferring land in favor of the Consortium, Joint Venture (Private EZ developers) formed for the purpose of setting up the zone.

    100% Exemption

    13

    Exemption of stamp duty on the land lease agreement between BEZA & Developers

    100% Exemption

    14

    Exemption of stamp duty on lease registration

    50% Exemption

    15

    EZ investors are waived from Board of Investment Act, 1989

    Completely Exempted