Through the creation of an extensive FDI heatmap, the Bangladesh Investment Development Authority (BIDA) is actively working to establish the nation as a top location for FDI. This project, which is being carried out in partnership with a number of international and regional stakeholders, is to strategically identify industries that are competitive, identify priority nations and investors, and shift to an investment promotion approach that is more data-driven.
The project, led by Nahian Rahman Rochi, head of BIDA’s Business Development team, is anticipated to produce actionable insights by the end of November, per a news release from the organisation. The conventional reactive approach to investment promotion that has long defined Bangladesh’s investment environment is significantly changed by this technique.
Ashik Chowdhury, executive chairman of BIDA, underlined the value of encouraging public-private cooperation and frequently updating the heatmap with feedback from important parties, especially from current and possible FDI source nations. In this endeavour, BIDA has partnered with many notable organisations, including Ernst & Young, HSBC, Standard Chartered Bank, and the Foreign Investors’ Chamber of Commerce and Industry.
Bangladesh’s ready-made garment (RMG) industry, a major pillar of the country’s economy, is expected to benefit most from an increase in foreign investment. RMG firms can increase their production capabilities and competitiveness in international markets by bringing in technology and finance from overseas companies. Notably, at least two Chinese businesses have indicated that they are willing to open facilities in Bangladesh, underscoring the expanding interest in the country as an investment destination.
In order to make things easier for investors, Chowdhury also addressed the current misunderstanding of the functions of different regulatory bodies by proposing the possible combination of the Bangladesh Export Processing Zones Authority, Bangladesh Economic Zones Authority, and Hi-Tech parks into a single entity. He emphasised the need of filling in the gaps in industry consultation and the necessity of hiring experts from the private sector to enhance BIDA’s operations.
In addition, Chowdhury declared that the suggested 100 economic zones would be lowered to a more targeted set of less than 10. In order to guarantee the provision of essential infrastructure, such as water, power, and residential amenities for investors, the designated zones will be given priority.
