Kaliakair Hi-Tech Park draws $1.64b investment proposals: Minister

Kaliakair Hi-Tech Park has so far received $283 million in investment out of proposed investments worth $1.636 billion, Posts, Telecommunications and Information Technology Minister Faqir Mahbub Anam said yesterday (8 August).

He said the state-run facility drew investment proposals worth $629 million from seven companies based in China, Japan, India, South Korea and the United States while visiting the country's first hi-tech park in Kaliakair to assess technology-based industrial development, investment and employment prospects.

Anam said multinational companies, including Google, Meta and TikTok, had also proposed investment in an AI data centre project planned by a US-based company.

"The centre is currently under construction," the minister said.

Officials said the inspection was part of a review of progress under the government's 180-day action plan.

Anam said initiatives had been taken to accelerate investment in the park and make domestic products more competitive globally under the government's "Made in Bangladesh" initiative.

"Fiscal and non-fiscal incentives are also being prepared for investors," he said.

An official statement said 85 companies had so far been allotted plots or space at the park, including seven foreign firms. Of them, 40 have started production or business operations, 28 are setting up plants and 17 are expected to begin construction soon.

The government has spent more than Tk500 crore on basic infrastructure at the park, while companies have invested around $283 million, equivalent to about Tk3,245 crore.

"If a proper business ecosystem is developed, the park could generate direct and indirect employment for around one lakh people," Anam said.

The statement said three mobile phone manufacturers, including Honor and Xiaomi, two laptop manufacturers, one ATM and cash recycler manufacturer, six fibre-optic cable manufacturers and three automobile manufacturers, including Hyundai, are operating at the park.

The park also produces IoT devices, routers, switches, CCTV equipment, air conditioners, refrigerators, home appliances, kidney dialysis machines, kiosks and ATM machines. Two companies are setting up data centres.

The government is preparing further measures to attract investment to hi-tech parks, including duty and tax benefits on capital machinery, VAT benefits on electricity and gas, and incentives for assemblers and emerging technology sectors.

Anam said long-term and predictable policy benefits alongside improved infrastructure could increase local production, reduce import dependence, expand exports and generate skilled employment.

He said the country's first hi-tech park was approved in February 2004 on 231.65 acres in Kaliakair. Another 97.33 acres were added in 2016.