5.5. Special Economic Zones and Incentives

Bangladesh offers Special Economic Zones (SEZs) to attract local and foreign investments. Managed by the Bangladesh Economic Zones Authority (BEZA), SEZs provide tax exemptions, customs duty waivers, and streamlined regulatory processes. Businesses in SEZs enjoy up to 10 years of corporate tax holidays, reduced VAT rates, and import duty exemptions on raw materials and machinery. Additionally, the Bangladesh Export Processing Zones Authority (BEPZA) oversees export processing zones (EPZs) that offer similar benefits. SEZs also provide ready infrastructure, simplified business approvals, and preferential access to international markets, making them ideal for industries such as textiles, IT, and manufacturing.