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Bangladesh Investment Summit 2025: Big Promises Amid Fragile Realities

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Bangladesh Investment Development Authority (BIDA) and the Bangladesh Economic Zones Authority (BEZA) jointly organized the Bangladesh Investment Summit 2025, held from April 7–10 in Dhaka. In an unstable political climate, the summit marked a significant effort by the interim government to place the country as a competitive global investment hub. The event attracted 450 foreign investors and delegates from 40 different countries. It hosted around 150 B2B and B2G meetings to connect decision-makers with actionable opportunities. The summit’s goal was to place Bangladesh as a strategic investment destination in South Asia. According to the BIDA Chairman, the summit secured investment declarations that add up to BDT 3,100 crore. The summit gives hope for raising investments when FDI inflows have remained low. According to Bangladesh Bank, in the fiscal year 2024, net FDI inflows stood at USD 1,468.17 million, reflecting a decline of USD 141.60 million—or 8.8%—compared to the previous fiscal year.

On top of that, a pipeline of potential investments will be developed based on expressed interest, with a roadmap spanning 18–24 months to ensure the summit’s commitments lead to tangible, long-term outcomes. The summit also marked the signing of a preliminary investment agreement between two foreign firms and BIDA, including Handa Industries, a prominent China-based apparel manufacturer known globally for its expertise in high-quality knitted textiles, dyeing, and garments.

The 2025 summit represented a notable evolution from previous editions—not just in presentation, but in intent. While earlier summits often resembled high-profile networking events lacking clear follow-up, this year’s gathering felt more focused. Organisers made a conscious effort to acknowledge past shortcomings, including Bangladesh’s challenges in the ease of doing business. But the question remains if the government can follow up on the promises. BIDA chairman Chowdhury Ashik Mahmud Bin Harun talked about “true one-stop service,” or a relationship manager model. The previous BIDA’s online One Stop Service (OSS) had reports of negligence. If BIDA can effectively implement the proposed changes to its model, it would be a highly positive and welcome development.

The speech of the BIDA chairman garnered praise from every quarter, cause no previous BIDA chief could deliver in such an eloquent manner. As much as this is praiseworthy, a different site from the usual boring scripted speeches, will this be enough to attract investment? Ultimately, what truly attracts investors is the on-the-ground reality, not just promises or presentations. According to the World Bank’s Business Ready report published in 2024, Bangladesh performs poorly in Business Insolvency (40 out of 100), Dispute Resolution (42 out of 100), and Market Competition (43 out of 100), highlighting institutional weaknesses that have long discouraged investor confidence. Public service (41 out of 100) delivery remains weak, with unreliable utility services and bureaucratic delays hampering business operations.

When the summit was urging investors to come to the country, the safety of the foreign brands came into question at the same time. The broken glasses in the outlets of KFC and looted showrooms of Bata on 7-8 April in the “peaceful” pro-Palestine protests painted a different picture than the summit wanted to show. Despite this setback, BIDA and the police force were swift to arrange a meeting later on with the officials from six foreign companies whose facilities were damaged during the protests. Bangladesh Police also announced plans to provide foreign investors with direct access to a dedicated emergency hotline, allowing prompt incident reporting and immediate assistance. This is a commendable initiative from BIDA’s broader mission to position Bangladesh as a safe, sustainable, and investor-friendly destination, in line with the priorities of the interim government.

The BIDA chairman also talked about Vision 2035, where Bangladesh will be a destination like Singapore or Thailand in 10 years. There was little mention of current economic indicators, geopolitical risks, or real-time data to justify this confidence. There was mention of a high return on equity (ROE) between 56.1% to 80.9%, which is even higher than the global average. But if the returns are truly that high, why hasn’t it translated into a surge of investor interest? Political stability has always attracted investors, which is evident from high FDIs whenever an elected party comes into office. Singapore’s success was built on the foundation of strong institutions, something Bangladesh still struggles with due to persistent corruption across successive regimes. The plan to unify government agencies under one interface and create a “Private Sector Advisory Council” is ambitious, but details were lacking. How will this council be structured? What powers will it hold? How will conflicting interests between ministries be resolved? In the end, it remains unclear whether these promises will bring real change or simply fade away like many before them.

Fazlur Rahaman Chowdhury

Director


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