Bangladesh saw a rebound in foreign direct investment (FDI) in the fiscal year (FY) 2024-25, with net inflows reaching $1.71 billion.
This net inflow was 114 percent higher than the $403 million recorded in the same period a year earlier.
Net foreign direct investment (FDI) in Bangladesh plunged to a five-year low in 2024, according to provisional figures released by Bangladesh Bank, raising concerns over investor confidence amid growing economic headwinds and policy uncertainties.
In 2023, existing companies reinvested earnings of $2.20 billion out of total net FDI inflow of $3 billion. This means that 73.5 percent of FDI came from existing investors.
Foreign direct investments to Bangladesh snapped its rising trend in 2023, highlighting the nervousness outside investors face in pumping money into a country whose foreign exchange regime is experiencing one of its worst periods in recent times
In spite of making progress in various sectors, Bangladesh still faces challenges in attracting foreign direct investment (FDI) due to problems faced once businesses are formed, according to Asian Development Bank Country Director Edimon Ginting.
Despite developing economic zones and adopting one-stop services to attract foreign direct investment (FDI), Bangladesh has failed to get as much as it targeted. Not only global economic giants like India, even small economies in the South Asian region such as the Maldives and Sri Lanka are ahead of Bangladesh in terms of FDI attraction.
Despite developing economic zones and adopting one-stop services to attract foreign direct investment (FDI), Bangladesh has failed to get as much as it targeted. Not only global economic giants like India, even small economies in the South Asian region such as the Maldives and Sri Lanka are ahead of Bangladesh in terms of FDI attraction.
