The cabinet has given in-principle and final approval to the draft Invest Bangladesh Act, 2026, placed by the Prime Minister’s Office (PMO). The proposed law aims to integrate the functions of the Bangladesh Investment Development Authority (BIDA), the Bangladesh Economic Zones Authority (BEZA), and the Public-Private Partnership Authority (PPPA) under a single institutional framework. The approval was given in a meeting chaired by Prime Minister Tarique Rahman at the cabinet room of the Jatiya Sangsad. The new authority is expected to serve as the country’s apex investment promotion and coordination agency.
Key Features of the Proposed Law
The proposed law is aligned with the current government’s election manifesto commitment to creating a business-friendly environment. It is expected to facilitate the implementation of single-window clearance, one-stop services, the digitalisation of approval and licensing processes, increased domestic and foreign investment, industrialisation, expanded public-private partnerships, and employment generation. The law will reduce existing policy inconsistencies in investment promotion and eliminate duplication and overlap in the mandates of different agencies.
Enhanced Coordination and Digitalisation
One of the significant features of the proposed law is the establishment of standard procedures and timelines for licensing, approvals, and the delivery of investor services. It also provides a framework for PPP approvals and allows simplified approval procedures for small-scale PPP projects through the relevant ministry or division. Additionally, the law allows unused government land, buildings, shares, and ownership rights to be utilized for productive economic activities.
Unified Industrial Zones and Digital Platform
The law provides for the integration of declared industrial zones, including economic zones and free trade zones, under a unified framework. It also aims to bring all investment- and business-related services under a single digital platform, enhancing efficiency and transparency in the investment process.
Significance and Next Steps
The Invest Bangladesh Act, 2026, is expected to play a crucial role in enhancing the country’s investment climate. By streamlining processes and reducing bureaucratic hurdles, the law aims to attract more domestic and foreign investment, fostering economic growth and job creation. The next steps will involve the finalization of the draft law and its presentation to the Jatiya Sangsad for legislative approval.
