Industry database being built to support investment-friendly policymaking: Bida

The Bangladesh Investment Development Authority (Bida) is preparing a comprehensive industry database to improve the country's investment climate, identify investors' challenges, and support evidence-based policymaking.

The initiative was highlighted at a divisional workshop on the "Survey of Industries in Bangladesh" organised by the investment authority with support from the Asian Development Bank and the South Asian Network on Economic Modeling in Khulna today (16 July). 

Government officials, private sector representatives, investors and local stakeholders attended the event, where discussions centred on the survey's objectives, investment opportunities, key challenges facing businesses, and the need for stakeholder cooperation in verifying investment-related data.

The investment authority's Director General Gazi AKM Fazlul Haque said that government policies are often formulated based on fragmented information. The survey, he said, will provide a clearer picture of the country's investment landscape, enabling better policymaking and a more accurate estimate of the number of active investors.

He added that Bangladesh should prioritise strengthening domestic investment, as satisfied local investors would eventually help attract more foreign investment.

Selim Raihan, a professor of Dhaka University's Economics department and executive director of the Asian network, said the survey aims to identify the problems investors face, recommend solutions, and establish a structured investment database that will support both investors and policymakers.

The economist said collaboration among government agencies, businesses and investors is essential for building a reliable investment information system.

Bangladesh is simultaneously undergoing transitions in energy, technology and economic restructuring, making a comprehensive investment information system increasingly important, he said. 

Selim said investment-related data are currently scattered across institutions, leading to duplication, weak evidence and limited institutional capacity.

The database, to be developed by the investment authority with the Asian Development Bank support and the South Asian network's technical assistance, will be integrated with the "One Stop Service" portal, he said. 

Asian Development Bank Bangladesh Public Sector Economist Tasnim Alam, who joined virtually, said Bangladesh needs more investment while reducing regulatory burdens on businesses. 

Referring to the investment authority's "One Stop Service", he stressed the importance of simplifying investment procedures, developing skilled human resources, strengthening institutions and enhancing climate resilience.

Highlighting the significant potential for industries in Khulna, Managing Director of Achia Sea Foods Ltd Mohammad Md Tariqul Islam Zaheer noted that many local industries still lack modern technology and called for environmentally sustainable industrial development near the Sundarbans.

Tariqul also said Bangladesh has adequate investment policies, but weak implementation remains a major obstacle. Addressing these gaps, he added, would encourage investment and help meet growing domestic demand.

Additional Divisional Commissioner of Khulna Sifat Mehnaz said industrial development initiatives should extend beyond divisional headquarters to district-level economies. 

She also stressed efficient land use, modernising agriculture with technology, and expanding cold storage facilities to reduce post-harvest losses, particularly for exportable fruits.

During the open discussion, participants highlighted persistent challenges, including licensing delays, electricity shortages, inadequate access to bank loans, high lending rates and difficulties in securing working capital for new industries.

They also identified investment opportunities in Khulna, including marine algae, pearl cultivation, coconut processing and peat production from coconut waste, alongside tomato, mango, mushroom and betel leaf-based industries.