The interim government of Bangladesh has greenlit a landmark policy to offer cash incentives to Non-Resident Bangladeshis (NRBs) who successfully attract Foreign Direct Investment (FDI). This strategic shift aims to transform the global Bangladeshi diaspora from a source of simple remittances into a powerful engine for industrial and equity-based economic growth.
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Direct Incentives for Global Facilitators
The decision was reached on Monday, 26 January, during a high-level Governing Board meeting of the Bangladesh Investment Development Authority (BIDA). Chaired by the Chief Adviser, Professor Muhammad Yunus, the meeting focused on leveraging the “social capital” of expatriates.
BIDA Executive Chairman Chowdhury Ashik Mahmud Bin Harun confirmed that a 1.25% cash incentive will be awarded to any expatriate who facilitates a verified equity investment. This move acknowledges the influential roles many Bangladeshis hold within international business circles. For instance, an individual who successfully attracts $100 million in equity capital would receive a performance-based reward of $1.25 million.
Unlike standard remittances intended for household consumption, this incentive specifically targets capital that builds factories, creates jobs, and enhances the nation’s industrial capacity. The proposal has been sent to the Ministry of Finance for final fiscal approval.
Structural Overhaul: The ‘Single Umbrella’ Authority
To support this influx of capital, the government is initiating a radical consolidation of its investment agencies. Currently, investors must navigate multiple bureaucratic channels, often leading to delays and confusion. The approved roadmap will merge six distinct bodies into a unified structure.
The Agencies Slated for Integration:
BIDA (Investment Promotion)
BEZA (Economic Zones)
BEPZA (Export Processing Zones)
Hi-Tech Park Authority (Digital & Tech Infrastructure)
PPP Authority (Public-Private Partnerships)
BSCIC (Small and Cottage Industries)
Global Outreach and Strategic Data
BIDA is also expanding its physical presence globally. To ensure efficiency, these international offices—starting in China, followed by South Korea and the EU—will operate on a success-based remuneration model. Staff will be compensated based on the volume of investment they bring to the table, rather than receiving fixed salaries.
| Policy Pillar | Implementation Strategy |
| Expat Incentive | 1.25% Commission on Equity Facilitation |
| New Structure | ‘Single Umbrella’ Merger of 6 Agencies |
| Overseas Hubs | China (Priority), South Korea, and European Union |
| Privatisation | Engagement of Investment Banks on Commission |
| Board Oversight | Mandatory meetings every 6 months |
A Transparent Privatisation Path
The board also approved a formalised guideline for privatisation. In a departure from previous opaque methods, the government will now hire professional investment banks on a commission basis to oversee the sale or restructuring of state-owned assets. This ensures that the process is handled with global financial standards, inviting higher-quality bids and ensuring transparency.
While the legal framework of the agency mergers will be finalised by a future elected government, the current administration is focused on creating the architectural “blueprint” for a more agile and investor-friendly Bangladesh.