Bangladesh FDI stands at a critical inflection point in its economic journey. While the country has achieved robust GDP growth over the last decade, job creation has not kept pace, and its heavy reliance on RMG exports poses long-term risks, especially as it prepares for LDC graduation in 2026.
The Bangladesh FDI Blueprint underscores the urgent need to attract foreign direct investment (FDI) to fuel industrial diversification, create large-scale employment, and enhance export competitiveness.
Key Highlights from the Bangladesh FDI Blueprint
Critical Inflection Point: Bangladesh’s GDP growth has been strong, but job creation and export diversification remain pressing challenges ahead of its LDC graduation in 2026.
Low FDI Share: Foreign direct investment contributes less than 1% of GDP, far below Vietnam’s 4.2%, underscoring the need for urgent reforms.
Demographic Dividend: With 65% of the population in the working-age group, Bangladesh has a unique but time-sensitive opportunity to leverage its labor advantage.
Export Diversification: Heavy reliance on RMG poses risks—FDI can help expand into electronics, agro-processing, pharmaceuticals, healthcare, renewable energy, leather, jute, and semiconductors.
Peer Country Lessons: Insights from Vietnam, India, and South Korea show how targeted policies, FDI, and technology transfer can drive industrial transformation.
Building reliable infrastructure & investor-friendly policies
Expanding special economic zones & promoting cross-border trade agreements
Global Investor Interest: UK, USA, Netherlands, China, South Korea, and Japan remain Bangladesh’s top FDI partners, with opportunities to scale further.
The Promise: A meaningful increase in FDI could create millions of jobs, boost foreign reserves, and transform Bangladesh into a diversified global investment hub.
The Bangladesh FDI Blueprint report outlines priority sectors, peer country lessons (Vietnam, South Korea, India), and maps key FDI sources, while offering actionable policy recommendations to build resilience and economic complexity.
