Bangladesh Startup Investment Co to launch on 12 May
The BSIC is beginning its journey with a capital base of Tk600 crore.
The Bangladesh Startup Investment Company PLC (BSIC), a newly formed venture capital company owned by 39 commercial banks, is set to launch on 12 May.
Officials said the BSIC aims to finance new, technology-driven and innovative ventures. However, it will not provide funding at the idea stage. Instead, the BSIC plans to invest in startups after they begin operations and show early signs of growth potential.
A senior BSIC official told TBS that the Bangladesh Bank had instructed banks to allocate 1% of their net profit to BSIC, and the fund has been successfully collected.
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Each year, banks will contribute 1% of their annual net profit. Banks with higher profits will provide larger contributions. An estimated Tk150 crore to Tk200 crore will be added to the fund annually.
The BSIC is beginning its journey with a capital base of Tk600 crore.
Finance Minister Amir Khosru Mahmud Chowdhury will attend the launching event as chief guest, while Bangladesh Bank Governor Md Mostaqur Rahman will be present as special guest.
BSIC's board comprises nine members, including five managing directors of commercial banks and four independent directors.
Masrur Arefin, chairman of the Association of Bankers, Bangladesh and managing director of City Bank, has been elected as the company's first chairman.
The managing directors of Prime Bank, Mutual Trust Bank, Sonali Bank, and Pubali Bank have been included on the board as directors.
Experts have welcomed the initiative to establish a startup-focused company, particularly at a time when attracting foreign investment remains challenging.
They noted that bank-backed funding could support around 200 to 300 startups, helping to strengthen the country's emerging entrepreneurial ecosystem.
Experts have stressed the importance of forming a board with experienced startup professionals and ensuring a rigorous project selection process.
Without proper evaluation by qualified experts, they cautioned, investments may fail to deliver the expected returns.
