14.2 Free Zones and Industrial Parks

To bolster industrial growth, Bangladesh has established Special Economic Zones (SEZs) and industrial parks. The Bangladesh Economic Zones Authority (BEZA), formed in 2010, aims to develop 100 SEZs, with a current focus on five priority zones to attract foreign investment. Notably, the Bangabandhu Hi-Tech City (BHTC) at Kaliakoir stands as the country’s first dedicated SEZ for IT/ITES and high-tech industries. These zones offer benefits such as tax exemptions, reduced import duties, and streamlined regulatory processes, facilitating production for both export and domestic markets. The SEZs are designed to boost employment, strengthen Bangladesh’s manufacturing base, and encourage foreign direct investment. However, the newly joined Executive Chairman of BIDA & BEZA recently declared that they would lower the number from 100 to a few because they want to execute every SEZ properly and one by one phase, and G2G economic zone proposal is always welcome. Recently, Japan took an SEZ, and Bangladesh and Japan are on a path to signing an economic partnership agreement soon.